If 2015 is your year to break into banking, now is the time to thoroughly familiarize yourself with the process of building financial models. Here are 10 resources to help you.
Its self-study program will walk you through the steps of constructing your first model, which will be a basic business model that will prepare you for later creating more advanced models such as Leveraged Buyouts (LBO). The site also includes free Excel templates.
The site offers three downloadable chapters. The first is a refresher on financial accounting. The second coaches you through creating your first financial model, and the third teaches you how to value a sample company using a Discounted Cash Flow (DCF) analysis.
Coursera represents an attempt by the world’s greatest universities to make their teaching accessible to as many people in the world as possible for free. Through Coursera the University of Chicago offers the course Asset Pricing. This is graduate-level teaching designed to help you understand financial models on a deeper level.
You can find several detailed extended length videos to help demystify the process of financial modeling.
One book cited by several people knowledgeable in the field of investment banking is Financial Modeling by Simon Brenniga published by MIT Press. Expect to pay around $80 for a new copy on Amazon. Another well-reviewed book is Building Financial Models by John S. Tija published by McGraw-Hill. A new copy on Amazon is around $60.
Self-Study Video Courses
This site offers several video-based courses taught by leading financial training companies. For example, there’s a course by eduCBA for $139 which promises to take you from a blank spreadsheet to a complete forecasting model in 13 hours and 159 lectures. There’s also a course by the firm Training the Street (TTS) called Leveraged Buyout: How To Build an LBO Model With Excel for $149. It’s the online version of the firm’s live courses.
The self-study Basic Package is $199. The Complete Modeling Package is $499. You can also take industry specific courses such as Oil and Gas Modeling and Real Estate Modeling (REIT). If you want to sample the company’s teaching style before committing, it offers free sample lessons.
The firm boasts that its models are all based upon actual business world case studies—- no fictitious companies are used for samples. The course prices are scheduled to increase in mid-December 2014, but until then the Advanced Modeling course is $347. The Premium Package of courses is $497 or 3 monthly payments of $177, and the Platinum Package goes for $997 or 3 monthly payments of $347. There’s also an offer of guaranteed internship.
Another available option is private coaching.
The company offers a reasonably priced $297 Financial Modeling Class. Like other video courses it’s self-paced.
10/ Live Courses
Jpfis.com (JP Financial & Investment Services) The company teaches three modules live from a class in Hyderabad, India. The instruction is broadcast to remote locations over the internet. The three modules and their prices are Financial Modeling for Valuation $12,000, Equity Asset Valuation $14,000, and Basic and Advance Excel $7,000.