Financial Modeling - Need to learn ASAP

Discussion in 'Business, Careers & Education' started by JSC437, Mar 21, 2011.

  1. JSC437

    JSC437 Senior member

    Messages:
    1,168
    Likes Received:
    1
    Joined:
    Nov 13, 2008
    Location:
    NYC
    Hello. I have been going on a lot of interviews lately (mostly Corporate Finance jobs) and have been asked about my financial modeling skills. In truth, I have a very basic level of understanding on financial modeling and need to improve my skills/knowledge asap. Any suggestions? Books, online courses, etc..?

    I should have taken the financial modeling course in grad school. [​IMG]
     
  2. gomestar

    gomestar Super Yelper

    Messages:
    19,400
    Likes Received:
    3,865
    Joined:
    Oct 21, 2008
    Location:
    NYC
  3. Staggerlee

    Staggerlee Member

    Messages:
    22
    Likes Received:
    0
    Joined:
    Mar 7, 2011
    Location:
    Los Angeles
    Look for ebook versions of "Financial Modeling in Practice" and "Financial Modeling using Excel and VBA". edit: you went to NYU, professor Damodoran's website has great spreadsheets: http://pages.stern.nyu.edu/~adamodar/
     
  4. JSC437

    JSC437 Senior member

    Messages:
    1,168
    Likes Received:
    1
    Joined:
    Nov 13, 2008
    Location:
    NYC
  5. Valor

    Valor Senior member

    Messages:
    836
    Likes Received:
    0
    Joined:
    Mar 24, 2010
    Location:
    NYC
    Is this financial models as in quantitative finance, or corp fin. There's a pretty big difference between the two.
     
  6. imageWIS

    imageWIS Senior member

    Messages:
    20,008
    Likes Received:
    97
    Joined:
    Apr 19, 2004
    Location:
    New York City / Buenos Aires
    Hello. I have been going on a lot of interviews lately (mostly Corporate Finance jobs) and have been asked about my financial modeling skills. In truth, I have a very basic level of understanding on financial modeling and need to improve my skills/knowledge asap. Any suggestions? Books, online courses, etc..?

    I should have taken the financial modeling course in grad school. [​IMG]


    What are your degrees in?
     
  7. JSC437

    JSC437 Senior member

    Messages:
    1,168
    Likes Received:
    1
    Joined:
    Nov 13, 2008
    Location:
    NYC
    What are your degrees in?

    Mba - finance

    Most of my classes were futures & options, debt instruments, other quantitative classes and various economics classes (roubini!!!!!). But most of my interviews have been corporate finance related and interviewers keep asking me if I can model M&A deals and things like that. wtf

    I am just starting the job search and have been trying to learn from the interview process... what questions are asked, what skills are required, etc..?
     
  8. SkinnyGoomba

    SkinnyGoomba Senior member

    Messages:
    12,594
    Likes Received:
    1,654
    Joined:
    Jan 3, 2008
    Location:
    Princeton, NJ
    You mean you didn't have one class focused on something like CAPM or pricing Acquisitions? My state school BS degree focused on that as well as corporate finance, options, debt instruments, ect.

    I hope you listened to Roubini and at least made a small fortune while in school.
     
  9. gdl203

    gdl203 Affiliate Vendor Dubiously Honored Affiliate Vendor

    Messages:
    36,693
    Likes Received:
    17,025
    Joined:
    Jun 9, 2005
    Location:
    New York
    Go to Damodaran's website and follow his entire course (he still posts videos, right?). Do the assignments - particularly the ones around building comps and building a DCF.

    Then pick a stock/company easy to understand, pull the 10K and use the last three years as historical financials, then build a full operating model (e.g. 5-year forecast), linking all the statements properly. This will not be easy - your nbalance sheet won't balance, you'll pull your hair out trying to figure out why, you'll go through all the lines one by one, it's irritating and frustrating and tiring, but it's necessary if you want to get it.
     
  10. gnatty8

    gnatty8 Senior member

    Messages:
    9,466
    Likes Received:
    1,443
    Joined:
    Nov 12, 2006
    Location:
    Not in Atlanta, GA
  11. JSC437

    JSC437 Senior member

    Messages:
    1,168
    Likes Received:
    1
    Joined:
    Nov 13, 2008
    Location:
    NYC
    You mean you didn't have one class focused on something like CAPM or pricing Acquisitions? My state school BS degree focused on that as well as corporate finance, options, debt instruments, ect.

    I hope you listened to Roubini and at least made a small fortune while in school.


    I did have a class like that.... but didn't go in to the detail needed for these types of job requirements. Also, i took that class about 1.5 years ago and haven't used that course material since then. I need a refresher course and also additional levels of understanding. Overall I focused more on the financial instruments and portfolio management courses (mostly quant oriented) rather than the corporate finance courses.

    Roubini class has been very helpful in interviews. But that is because of his skill as a teacher and quality of the class rather than his recent fame or market outlook. I would assume that he was an excellent professor long before he was on the cover of the Financial Times, etc...

    Go to Damodaran's website and follow his entire course (he still posts videos, right?). Do the assignments - particularly the ones around building comps and building a DCF.

    Then pick a stock/company easy to understand, pull the 10K and use the last three years as historical financials, then build a full operating model (e.g. 5-year forecast), linking all the statements properly. This will not be easy - your nbalance sheet won't balance, you'll pull your hair out trying to figure out why, you'll go through all the lines one by one, it's irritating and frustrating and tiring, but it's necessary if you want to get it.


    Thanks! I will do exactly that (website, etc..). I didn't get to take Damodaran because I was a Langone student. [​IMG]
     
  12. JSC437

    JSC437 Senior member

    Messages:
    1,168
    Likes Received:
    1
    Joined:
    Nov 13, 2008
    Location:
    NYC
    One of the better books out there, and comes with a DVD with financial models you can customize to suit your own purposes:

    http://www.amazon.com/Financial-Mode.../dp/0262026287


    Thanks. You are the 2nd person to suggest this book. I think the author teaches at one of the better business schools (wharton or maybe MIT). Going to take a look at Barnes & Noble.
     
  13. alliswell

    alliswell Senior member

    Messages:
    3,992
    Likes Received:
    15
    Joined:
    Jul 8, 2007
    Go to Damodaran's website and follow his entire course (he still posts videos, right?). Do the assignments - particularly the ones around building comps and building a DCF.

    Then pick a stock/company easy to understand, pull the 10K and use the last three years as historical financials, then build a full operating model (e.g. 5-year forecast), linking all the statements properly. This will not be easy - your nbalance sheet won't balance, you'll pull your hair out trying to figure out why, you'll go through all the lines one by one, it's irritating and frustrating and tiring, but it's necessary if you want to get it.


    Funny - your name should have tipped me off that you were at Stern. Say '05 and it'll be even funnier.
     
  14. gdl203

    gdl203 Affiliate Vendor Dubiously Honored Affiliate Vendor

    Messages:
    36,693
    Likes Received:
    17,025
    Joined:
    Jun 9, 2005
    Location:
    New York
    Funny - your name should have tipped me off that you were at Stern. Say '05 and it'll be even funnier.

    '05 [​IMG]

    (no not really, '02)
     
  15. Eustace Tilley

    Eustace Tilley Senior member

    Messages:
    6,452
    Likes Received:
    305
    Joined:
    Sep 27, 2007
    Location:
    New York
    There is a company called Training The Street that runs most of the analyst / associate training programs for major Wall Street investment banks. Their courses focus on corporate finance and modeling.

    I believe they also hold independent classes (not sure if online) which you should be able to enroll in.
     

Share This Page

Styleforum is proudly sponsored by