MBAEL 322: SECURITY ANALYSIS AND PORTFOLIO MANAGEMENT

Course Objectives:
1 To develop a strategic and policy perspective by developing a robust
understanding of the principles of Financial Investment decisions with respect to the
risk and rewards of various avenues of investment and their management strategies.
2 To present practical insights into the valuation of debt and equity securities and
strategies to use various funds in portfolios
3 To provide practical knowledge of Economy, Industry and Company analysis along
with the use of fundamental and technical analysis
4 To provide a thorough understanding of asset pricing models and their applications in
portfolio management
5 To provide a deep understanding of portfolio performance techniques along with
providing the insights from behavioural finance
Course Outcomes: After attending this course, the students shall be able to:
1 Understand the principles of Financial Investment decisions with respect to the risk
and rewards of various avenues of investment and their management strategies
2 Gain practical insights into the valuation of debt and equity securities and strategies
to use various funds in portfolios; gain workable knowledge of revising and
rebalancing the portfolios.
3 Acquire practical knowledge of Economy, Industry and Company analysis along with
the use of fundamental and technical analysis with relevant real time data
4 Learn the applications of asset pricing models in portfolio management
5 Acquire the knowledge of portfolio performance techniques along with the insights
from behavioural finance to better manage the portfolios; gain a basic understanding
of the latest securities trading practices.
CONTENT:
Unit I
Concept and Objectives of Investment, Types of Securities and Avenues for Investment,
Investment Management Process, Risk and Its Measurement, Value at Risk (VaR).
Unit II
Relationship between Risk and Return, Valuation of Securities, Equity Shares, Preference
Shares and Bonds, Term Structure of Interest rates, Mutual Funds, Hedge Funds.
Unit III
Efficient Market Hypothesis, Testing for Market Efficiency, Economic & Industry Analysis,
Company Analysis, Fundamental and Technical Analysis, Volatility, and Its Measurement.
Unit IV
Portfolio Theory – Diversification and Optimal Portfolios, International Portfolios, Capital
Asset Pricing Models, Factors Models, Arbitrage Pricing Theory.
Unit V
Measuring Portfolio Performance. Bond Portfolio Management and Interest Immunization,
Foundations of Behavioural Finance, Prospect Theory, Market Anomalies, High Frequency
Trading, Algorithmic Trading.
Pedagogy: Case studies from the relevant sectors and Industries, Projects, Inputs from
Industry executives.
Suggested Readings:
1. Bodie, Kane et al (2019), Investments, 11th edition, McGraw-Hill
2. Reilly and Brown (2012), Analysis of Investments and Management of Portfolio,10th
edition, Cengage Learning
3. Haugen Robert A (2017), Modern Investment Theory, 5th Edition, Pearson
4. Sharpe, Alexander, and Bailey (2002), Investments, 6th Edition, Wiley press
5. Greenblatt and Titman (2001), Financial Markets and Corporate Strategy, 2nd Edition,
TMH
MBAEL 323: MANAGEMENT OF BFSI (BANKING, FINANCIAL SERVICES, AND
INSURANCE)
Course Objectives:
1. To provide an overview of financial services and financial system along with the
regulatory framework governing the primary and secondary markets in India
2. To develop a thorough understanding of the role of Depository services, Mutual fund
industry and Insurance services available in India.
3. To provide practical knowledge of risk management function in Banks, and develop a
basic understanding of Securitization process and Credit rating in the context of
India.
4. To provide practical knowledge of services under Leasing and Hire purchase,
Housing finance, and Factoring
5. To provide an overview of alternative investment sources and new age financial
technology (Fintech) firms.
Course Outcomes: After attending this course, the students shall be able to:
1. Acquire an overview of financial services and financial system along with the
regulatory framework governing the primary and secondary markets in India
2. Develop a thorough understanding of the role of Depository services, Mutual fund
industry and Insurance services available in India.
3. Gain practical knowledge of risk management function in Banks, and develop a basic
understanding of Securitization process and Credit rating in the context of India.
4. Acquire practical knowledge of services under Leasing and Hire purchase, Housing
finance, and Factoring.
5. Learn about alternative investment sources and new age financial technology
(Fintech) firms and their operations.
CONTENT:
Unit I
Financial Services: Introduction of Financial Intermediaries and Financial Services,
Organisation of the Financial Service Industry, Various Financial Intermediaries, Recent
Development in Financial Services, Financial Services in India. Financial Regulation: Need
for Regulation of Financial Market, Theoretical and Economic Perspective of Regulation,
International Regulatory Framework, Deregulation of Indian Financial System, Revolution of
Financial Services, Financial System and Securitized Financial System, Functions of Stock
Exchange, Debt Market, Government Securities Market, Regulation for Primary Markets,
Regulations for Secondary Markets.
Unit II
Depository Services: Introduction to Depository Services, Depository Participants in India,
Role of NSDL and CDSL, Services offered by Depository Participants, Products offered by
Depository Participants, Process of Dematerialization, Difference Between Physical and
Electronic Holding of Securities. Broking: Broking Services and Trading in Equity Broking
and Trading in Debt. Mutual Funds: Concept of Mutual Funds, Types of Mutual Funds,
Advantages, Structure of Mutual Funds and tax treatment, SEBI and Mutual Funds
Regulations. Insurance Services: Introduction, Types of Insurance, Life Products, Non-Life
Products.
Unit III
Risk Management in Commercial Banks: Credit Risk, Interest Rate Risk, Liquidity Risk;
Capital Adequacy and Basel Norms. Debt Securitization and Corporate Advisory Services:
Introduction, Securitization as a funding Mechanism, Securitization of Mortgaged and Non-
Mortgaged Assets Issue Management; Credit Cards: Types, Settlement Process Mechanism.
Credit Rating: Meaning of Credit Rating, Process of Credit Rating, and Factors affecting
Rating, Types of Rating, Advantages and Disadvantages of Credit Rating, Methodology of
Credit Rating.
Unit IV
Leasing: Definition, Types of Leases, Advantages, Disadvantages, Leasing and Commercial
Banking Sector, Risk in Leasing, Lease Proposal Analysis, Comparison Between Lease and
Hire Purchase, Legal and Taxation Aspects of leasing, Lease Accounting and Reporting.
Housing Finance: Introduction to Housing Finance, Housing Finance Schemes, Procedure of
Loan-disbursement, Legal Framework of Housing Finance. Factoring: Meaning, Forms,
Functions, Legal Aspects and Evaluation.
Unit V
Alternative Investment Funds. Venture Capital: Meaning of Venture Capital, Nature, Scope,
Regulatory Framework, Investment Process, Factors Affecting Venture Capitalist, Major
Trends, and Reasons for Slow Growth, and Limitations of Venture Capital. Angel Investors
and Private Equity Funds in India. Fintech firms and their services.
Pedagogy: Case studies from the relevant sectors and Industries, Projects, Inputs from
Industry executives.
Suggested Readings:
1. Kumar, Sunil. (2020). Essentials of Banking and Insurance. JSR Publishing House
2. Suresh, P. and Paul, J. (2017). Management Of Banking and Financial Services.
Fourth Edition, Pearson.
3. Denis, L and Tanna J J. (2012). Emerging Role of Financial Services Insurance and
Banking. Manglam Publishers & Distributors.
4. Satyadevi, C. (2009). Financial Services Banking and Insurance. S.Chand.
5. Sengar, S. (2008). Banking, Insurance, and Financial Services. Anamol Prakashan.
6. Latest SEBI and RBI Circulations
 MBAEL 324: WORKING CAPITAL MANAGEMENT
Course Objectives:
1. To help students appreciate the need for working capital funding.
2. To provide a framework to understand the operating cycle and its components.
3. To help students understand the sources of working capital and its structuring.
4. To understand how to manage the inventory in the light of working capital
management.
5. To understand the current framework under which working capital management
operates.
Course Outcomes: After attending this course, the students shall be able to:
1. Understand the terminology of working capital management and appraise the
working capital requirements for different projects.
2. Apply various processes of working capital management.
3. Formulate comprehensive planning tools to optimally manage working capital.
4. Practically apply the concepts of inventory management.
5. Manage budgeting practices and formulate credit policies for the organizations.

CONTENT:
Unit I
Concept, Importance and kinds of working Capital, Factors Determining Working Capital,
Estimating the requirements of Working Capital, Management of Cash – Motives for Holding
cash and marketable securities, Cashless System, Managing the Cash Flows
Unit II
Types of Collection Systems, Cash concentration Strategies, Disbursement Tools, Investment
in Marketable Securities; Forecasting Cash Flows.
Unit III
Managing Corporate Liquidity and financial Flexibility, Measures of Liquidity, Determining
the Optimum Level of Cash Balance, Baumol’s Model, Miller-orr Model, Receivables
Management, Determining the optimum receivable Policy, Marginal Analysis, Credit
analysis.
Unit IV
Inventory Management-kinds of Inventories, reasons and benefits, Costs of maintaining
Inventory, Inventory Management techniques, ABC EOQ, Just in Time, Risks in Inventory
Management.
Unit V
Financing of Working Capital, Integrating working Capital and Capital Investment Processes,
Money Market in India, Banking system in India, Working capital Control and Banking
Policy in India, Instruments of Indian and International Money Market, Managing Short-term
International transactions.
Pedagogy: Case Studies, Lecture Based Learning, Class Discussions, Power Point
Presentations, Projects.

Suggested Readings:

1. Working Capital Management Text & Cases by V.K. Bhalla, S. Chand & Company
2. Working Capital Management Strategies & Technique by H. Bhattacharya, PHI
3. Working Capital Management by RP Rustogi, Taxmann’s
4. Working Capital Management-Application & Cases by James S. Sagner, Willey
5. Essentials of Working Capital Management by James Sagner, Essential series, Willey
 MBAEL325: CORPORATE TAX PLANNING

Course Objectives:
1. To enable the students to know the basic concepts and procedures of corporate
tax planning and management under the provisions of Income Tax Act.
2. To identify the scope of tax planning out of various aspects of business.
3. To know how to comply with the procedural aspects of tax planning and
management.
4. To safeguard the organization from unnecessary tax related litigations by
developing the insight of latest provisions of corporate tax in India.
5. To ensure the maximum possible provisions of tax benefits are availed by the
business concern.

Course Outcomes: After attending this course, the students shall be able to:
1. Demonstrate understanding of the principles and concepts of Corporate Tax
Planning, which will help them, identify and apply the best practices in
Corporate.
2. Synthesize and evaluate the impact of various Tax provisions.
3. Optimally manage the corporate tax liability within the legal framework of
Income Tax Act.
4. Incorporate the latest tax planning practices in the form of investment into new
projects.
5. Indulge in corporate tax evasion and avoidance and to follow practice of real
corporate tax planning and management only.

CONTENT:

Unit I
Basic Concepts of Corporate Income Tax and GST, Tax Evasion and tax avoidance;
Tax Planning and tax management, Residential Status of a Company and incidence of
Taxation, Computation of Corporate Tax Liability.

Unit II
Set off and Carry forward of Corporate losses, Scope for Tax Planning for setting up
of new business:- Location of Business Undertaking, Nature and size of business,
Form of business and Ownership pattern, Employees Remuneration

Unit III
Tax Considerations in Specific Financial and Managerial Decision- Lease or own
decision, Make or Buy decision, Repair/renewal or replacement of an asset, Capital
structure decision, Dividend policy and tax consideration

Unit IV
Double Taxation relief, Tax provisions relating to transfer pricing, Tax Planning
relating to Amalgamation and Merger of Companies, Tax Planning with reference to
sale of scientific research assets
Unit V
Business tax procedure and management-Advance Tax, TDS and Interest, Tax Credit,
Payments covered by TDS scheme, different situations of advance tax payment, Case
Study

Pedagogy: Case Studies, Lecture Based Learning, Class Discussions, Power Point
Presentations, Projects.

Suggested Readings:

1. Singhania, V. K. (2023-24). Students Guide to Income Tax inclding GST. Taxman

Publications.
2. Abuja, G. (2023). Simplified Approach to Corporate Tax Planning and Management.
Wolters Kluwer India Pvt.
3. Goyal, M. a. (2023-24). Corporate Tax Planning & Management. Sahitya Bhawan.
4. Dr. J. C. Varshney, N. G. (2021). Corporate Tax Planning. SBPD Publications
5. Singhnia, V. K. (2023). Corporate Tax Planning and Business Tax Procedure. Taxman
Publications.
 MBAEL 42: VALUATION AND ASSET PRICING
COURSE OBJECTIVES:
1. To provide an overview of the concepts and theories of valuation of various financial
securities and develop a strong foundation of the techniques used in the valuation of
assets
2. To provide a comprehensive understanding of the elements of cash flow analysis and
qualitative aspects affecting valuation of assets
3. To provide a thorough understanding of multiples’ approach to valuation
4. To develop an understanding of the valuation of start - ups, Real Options and
Intangibles
5. To develop an understanding of the techniques dealing with uncertainties in Valuation
COURSE OUTCOMES: After attending this course, the students shall be able to:
1. Learn the concepts and theories of valuation of various financial securities and
develop practical insights to apply the same for the valuation of various assets
2. Develop comprehensive understanding of the elements of cash flow analysis and
qualitative aspects affecting valuation of assets
3. Develop a strong foundation to use multiples’ approach to valuation
4. Apply the valuation fundamentals to the valuation of start - ups, Real Options, and
Intangibles
5. Learn to apply the techniques dealing with uncertainties in Valuation decisions

CONTENT:
Unit I
Concepts in valuation, market risk and return, valuation and management of bonds, shares
and their valuation, portfolio theory , asset pricing models Approaches to valuation –
Discounted Cash Flow Valuation, Relative valuation, Contingent Claim Valuation, Asset
Measurement, and valuation, measuring Financing Mix, Measuring Earnings and
Profitability, Issues in analyzing Financial Statements.
Unit II
Estimating Risk Parameters and Cost of Financing, Cost of Equity and Debt, Free Cash Flow
to Equity, Project Free Cash Flow, Estimating Growth – Fundamental determinants of
Growth, Qualitative aspects of Growth, Estimating Terminal Values, Adjusted Present Value
approach.
Unit III
Estimating Equity value per share, Principles of Relative Valuation, Earnings Multiples, book
Value Multiples, Revenue Multiples and sector specific multiples, Valuing Financial Service
firms.
Unit IV
Valuing Young and Start up firms, Valuing venture capital and private equity stakes, Real
options valuation, Valuation of Intangible assets and IPRs,
Unit V
Valuing Equity in Distressed firms. Probabilistic approaches in Valuation – Scenario analysis,
Decision trees, Simulations.
Pedagogy: Case studies from the relevant sectors and Industries, Projects, Inputs from
Industry executives.
Suggested Readings:
1. Kapil S (2021). Financial Valuation and Modelling, Wiley.
2. Koller Tim et al., (2020). Valuation: Measuring and Managing the Value of
Companies.7th Edition, University Edition.Wiley.
3. Damodaran A. (2012). Investment Valuation: Tools and Techniques for Determining
the value of any Asset, 3rd edition, Wiley Finance series.
4. Damodaran A. (2008). Damodaran on Valuation,2nd Edition, Wiley Finance series,
Wiley.
 MBA EL 422: CORPORATE FINANCE
Course Objectives:
1. To provide an understanding of firm and equity value through comprehensive cash
flow analysis
2. To present practical insights into capital budgeting process and discuss the same in a
realistic setting
3. To provide a thorough knowledge of financing options facing a firm along with their
impact on the capital structure of the firm
4. To provide a thorough understanding of corporate actions and their impact on firm
value
5. To provide a deep understanding of corporate restructuring activities along with their
strategic implications for the firm
Course Outcomes: After attending this course, the students shall be able to:
1. Understand the foundations of firm and equity valuation and can undertake
comprehensive cash flow analysis for corporate decisions
2. Apply practical insights into capital budgeting process and can execute the same in a
realistic setting
3. Use financing options facing a firm with short- and long-term viewpoint and can also
analyse its impact on capital structure
4. Analyse the impact of various corporate actions and their impact on firm value
5. Understand corporate restructuring activities along with their strategic implications
for the firm
CONTENT:
Unit I
The Firm and its structural set up, Corporate Financial Decisions, Firm Value and Equity
Value, Equity Risk and expected returns, Free cash flow approach to equity and firm
valuation. Incremental cash flows of projects.
Unit II
Investment in assets and Required Returns: Principle of Capital Investment, Capital
Rationing, Inflation and Budgeting, Real options embedded in Projects, Creating value
through required returns.
Unit III
Financing policies: Theory of Capital Structure, Making Capital Structure Decision, long
term- financing, lease financing, Issuing securities, fixed – income financing, Hybrid
financing, financing through private equity and venture capital, Choosing the right financing
instrument.
Unit IV
Dividend Policies and signalling, stock dividend and share repurchase, effect of stock
dividend, splits on shareholders’ equity, capital market financing and risk management.
UNIT V
Corporate Restructuring: Mergers for corporate control, Legal, and procedural aspects of
merger decision; Takeover code; goodwill and valuation of shares, Determination of
Exchange ratio, Corporate and distress restructuring.
Pedagogy: Case studies from the relevant sectors and Industries, Projects, Inputs from
Industry executives.
Suggested Readings:
1. Mohanty, P, (2021). Business Valuation, Reprint Edition, Taxman
2. Brealey and Myers, (2018). Principles of Corporate finance, 12th Edition, Mc
Grawhill.
3. Damodaran A (2015). Applied Corporate Finance, 4th Edition, Wiley.
4. Kishore, Ram, (2013), Strategic Financial Management, Taxman
5. Horne, Van and Dhamija, S. (2011). Financial Management and Policy, 13 th edition,
Pearson
6. Robert Bruner, Kenneth Eades, et al, (2009), Case Studies in Finance, 6th edition.
McGraw Hill
7. DePamphillis D. (2007). Mergers, Acquisitions and Other Restructuring Activities.
Academic Press Advanced Finance