FIN-885 Enterprise Risk Management
The course introduces basic corporate valuation, models and shows how risk arises in firms and how, managing that risk can impact the firm's, valuation. It shows different ways and contracts, that can be used to change the risk profile of, the firm. The course will introduce methods, including using derivatives to hedge, and the use, of insurance and hybrid insurance contracts, and, through the adjustment of the capital structure, and other financial policies of the firm, (dividend payout strategies, optimal, compensation, etc.). Throughout the course we, will use various risk metrics to demonstrate the, impact the risk management strategy has on the, firm's exposure to risk and the value that is, created by undertaking the activity.