Title: An Introduction to the International Financial Management Course at Harvard Business School
1An Introduction to the International Financial
Management Course at Harvard Business School
- CODRE Seminar
- November 2004
- Mihir A. Desai
2The Overall Structure of the Course
- Module II Multinational Finance
- AIFS Hedging
- GM Hedging (1)
- GM Hedging (2)
- Shanghai GM Refinancing
- Stanley Inversion
- Module IV Institutions and Finance
- Financing Babycare
- Czech Mate
- EU - GE/Honeywell
- Global Conservation Fund
- IMF-Sovereign Debt Restructuring Mechanism
- Module I Exchange Rates and Asset Prices
- Foreign Exchange Problem Set
- Monetary Authority of Singapore
- Innocents Abroad
- Module III Cross-Border Valuation and
Financing - Yell Buyout (2 days)
- AES Cost of Capital
- Dow Quimica PBB Privatization
- Petrobras Pecom Acquisition
- Rexford Film Financing
- Nestle-Alcon (not approved)
- Asahi Glass EVA
3What types of cases are there in this course?
- Library Case
- Czech Mate
- EU - GE/Honeywell (started with interview but too
sensitive) - Foreign Exchange Problem Set
- IMF-Sovereign Debt Restructuring Mechanism
(started with interview but too sensitive) - Innocents Abroad (started as Field) (fictional
protagonist) - Petrobras Pecom Acquisition (started with
interview but changed leadership) - Rexford Film Financing (fictional protagonist)
- Stanley (contact with company but too sensitive)
(fictional protagonist)
- Field Case
- AES Cost of Capital
- AIFS Hedging
- Asahi Glass - EVA
- Dow Quimica PBB Privatization
- Financing Babycare
- Global Conservation Fund
- GM Hedging (1)
- GM Hedging (2)
- Monetary Authority of Singapore
- Nestle-Alcon (not approved)
- Shanghai GM Refinancing
- Yell Buyout
4What parts of the world do these cases cover?
- US
- Stanley Inversion
- Latin America
- Dow Quimica PBB Privatization
- Petrobras Pecom Acquisition
- Europe
- AIFS Hedging
- Czech Mate
- EU - GE/Honeywell
- Nestle-Alcon Spinoff (not approved)
- Rexford Film Financing (US setting)
- Yell Buyout
- Worldwide
- AES Cost of Capital (US setting)
- Foreign Exchange Problem Set
- Global Conservation Fund (US setting)
- GM Hedging (1) (US setting)
- GM Hedging (2) (US setting)
- IMF-Sovereign Debt Restructuring Mechanism (US
setting) - Innocents Abroad (US setting)
- Asia
- Asia
- Asahi Glass - EVA
- Financing Babycare
- Monetary Authority of Singapore
- Shanghai GM Refinancing
5MODULE 1 Exchange Rates and Asset Prices
- Foreign Exchange Markets and Transactions
- Foreign exchange market basics mechanics
economics - Exchange Rate Policy at the Monetary Authority of
Singapore - Determinants of exchange rates, real exchange
rates, monetary policy, exchange rate regime
choice, trilemma - Innocents Abroad Currencies and International
Stock Returns - Currencies and equity returns, home-bias,
mean-variance analysis of optimal portfolios
6Foreign Exchange Markets and Transactions
7Exchange Rate Policy at the Monetary Authority of
Singapore
8Innocents Abroad Currencies and International
Stock Returns
9MODULE 2 Multinational Finance
- Hedging Currency Risks at AIFS
- Measuring exposures alternative hedging
instruments, options vs. forwards - Foreign Exchange Hedging Strategies at General
Motors Transactional and Translational Exposures - Hedging policy,impact of FX changes on financial
statements - Foreign Exchange Hedging Strategies at General
Motors Competitive Exposures - Impact of FX changes on competitiveness
- The Refinancing of Shanghai General Motors
- Issues in structuring and financing overseas
ventures - Corporate Inversions Stanley Works and the Lure
of Tax Havens - U.S. taxation of foreign operations
10Hedging Currency Risks at AIFS
11Foreign Exchange Hedging Strategies at General
Motors Transactional and Translational Exposures
12Foreign Exchange Hedging Strategies at General
Motors Competitive Exposures
13The Refinancing of Shanghai General Motors
14Corporate Inversions Stanley Works and the Lure
of Tax Havens
15MODULE 3(i) Cross-Border Valuation and Financing
- Valuing a Cross-Border LBO Bidding on the Yell
Group - DCF methods for multiple currencies, CCF vs. APV
- Globalizing the Cost of Capital at AES
- Country risk adjustments in capital budgeting,
leverage and discount rates - Dow Chemicals Bid for the Privatization of PBB
in Argentina - Country risk adjustments in acquisitions,
multinational behavior in currency crises,
distributional consequences of crises - Drilling South Petrobras Evaluates Pecom
- Consequences of extreme outcomes in exchange rate
markets, valuation across emerging markets,
politics and finance
16MODULE 3(ii) Cross-Border Valuation and Financing
- Nestle's Spinoff of Alcon and Cross-Border
Listings and Depositary Receipts (Note) - Capital markets listing options, clienteles
- Tax-Motivated Film Financing at Rexford Studios
- Transaction driven by tax arbitrage, clienteles
in international settings - Implementing EVA at Asahi Glass
- Economic Value Added analysis in intl setting,
Japanese corporate governance
17Valuing a Cross-Border LBO Bidding on the Yell
Group
18Globalizing the Cost of Capital at AES
19Dow Chemicals Bid for the Privatization of PBB
in Argentina
20Drilling South Petrobras Evaluates Pecom
21Nestle's Spinoff of Alcon (with Cross-Border
Listings and Depositary Receipts)
22Tax-Motivated Film Financing at Rexford Studios
23Implementing EVA at Asahi Glass
24MODULE 4 Institutions and Finance
- Growing Up In China The Financing of BabyCare
- Venture capital/entrepreneurial finance in
emerging markets - Czech Mate CME and Vladimir Zelezny
- Investor protections and finance, expropriation,
cross-border protections - Antitrust Regulations in a Global Setting The
EU Investigation of the GE/Honeywell Merger - Impact of multiple regulators in cross-border
settings, IO of mergers - Financing Biodiversity Conservation by the Global
Conservation Fund - Applications of financial tools in other
contexts, Debt swaps - Redesigning Sovereign Debt Restructuring
Mechanisms - Sovereign bankruptcies
25Growing Up In China The Financing of BabyCare
26Czech Mate CME and Vladimir Zelezny (cases A-D)
27Antitrust Regulations in a Global Setting The
EU Investigation of the GE/Honeywell Merger
28Financing Biodiversity Conservation by the Global
Conservation Fund
29Redesigning Sovereign Debt Restructuring
Mechanisms