Investment Banking Manual
Download CFI's free investment banking book
Investment Banking Manual
Covering accounting fundamentals, valuation, financial modeling, & Excel skills, this 400+ page guide to investment banking is a must-have for new analysts & associates.
Welcome to the official investment banking eBook from the Corporate Finance Institute. In this 466-page analyst manual, we walk through all the important skills and the body of knowledge required for a new hire at a bank. From accounting fundamentals to valuation, financial modeling, and Excel skills, this eBook cover all the major topics in investment banking for a new analyst or associate. We hope you find this book useful in reaching your future goals.
CFI’s investment banking book is divided into three chapters: accounting, valuation, and financial modeling. Below is a detailed breakdown of what’s included in each chapter.
Investment Banking Book – Accounting (Chapter 1)
The accounting section of CFI’s investment banking book includes:
Accounting and analysis fundamentals
- Accounting framework
- Balance sheet issues
- Income statement issues
- Cash flow statements
Accounting and analysis for mergers and acquisitions
- Acquisition accounting
- Accounting for associates and joint ventures
- Considerations for investment banking
- Comprehensive examples
- New M&A accounting rules
Valuation (Chapter 2)
The investment banking book includes:
Discounted cash flow techniques
- Discounting fundamentals
- Estimating free cash flow for valuation purposes
- The key value drivers of cash flow
- Calculating the terminal value
- Putting it all together – DCF with terminal value calculation
Cost of capital
- An introduction to risk
- Capital asset pricing model (CAPM)
- The Cost of Debt and WACC
Comparable company analysis
- Why do we do comps?
- Comparable universe
- Sources of information
- From Equity Value to Enterprise Value
- Which multiple?
- Using comps
- Special Situations
- Keys to success
Precedent transaction analysis
- Introduction
- Mechanics
- Valuing the target
- Control premia
- Problems with precedent transactions
Financial Modeling (Chapter 3)
The financial modeling section of the investment banking book includes:
Best practices financial modeling
- Introduction
- Introducing the Ribbon
- Quick Access Toolbar
- Page Layout menu
- View menu
- Model set up
- Model structure
- Referencing
- Formatting
- IF and some other logical functions
- Data retrieval – the LOOKUP school
- Volatile functions
- Consolidating data
- Arrays
- Dates
- Switches
- Sensitivity
- Validating data
- Pivot tables
- Model completion
- Charts
- Historic financials
- Forecast financials
- Debt modeling
- Formatting Continued
- Formulas
- Names
- Data functionality
- Auditing and error detection tools
- Auditing a model – a process
Appendix
- Excel tricks
- Excel function keys
- Other shortcuts
Book Review
Below is one of many reviews CFI received from satisfied readers:
“The investment banking manual book covers just about everything you need to know to jump in as a new analyst or associate. For anyone who wants a crash course or refresher on a wide body of knowledge, this is the ebook for you.”
Additional Resources
This Investment Banking Analyst book is a great way to jumpstart your banking knowledge. Whether you are going for an interview, or just started on the job, this book is a great way to get a lot of information in one highly organized format. And the best part is…it’s 100% free!
To learn more and advance your career, check out these additional CFI resources:
Additional Resources
CFI is a global provider of financial modeling courses and of the FMVA Certification. CFI’s mission is to help all professionals improve their technical skills. If you are a student or looking for a career change, the CFI website has many free resources to help you jumpstart your Career in Finance. If you are seeking to improve your technical skills, check out some of our most popular courses. Below are some additional resources for you to further explore:
The Financial Modeling Certification
Analyst Certification FMVA® Program
CFI is a global provider of financial modeling courses and of the FMVA Certification. CFI’s mission is to help all professionals improve their technical skills. If you are a student or looking for a career change, the CFI website has many free resources to help you jumpstart your Career in Finance. If you are seeking to improve your technical skills, check out some of our most popular courses. Below are some additional resources for you to further explore:
The Financial Modeling Certification
Below is a break down of subject weightings in the FMVA® financial analyst program. As you can see there is a heavy focus on financial modeling, finance, Excel, business valuation, budgeting/forecasting, PowerPoint presentations, accounting and business strategy.
A well rounded financial analyst possesses all of the above skills!
Additional Questions & Answers
CFI is the global institution behind the financial modeling and valuation analyst FMVA® Designation. CFI is on a mission to enable anyone to be a great financial analyst and have a great career path. In order to help you advance your career, CFI has compiled many resources to assist you along the path.
In order to become a great financial analyst, here are some more questions and answers for you to discover:
- What is Financial Modeling?
- How Do You Build a DCF Model?
- What is Sensitivity Analysis?
- How Do You Value a Business?
Excel Tutorial
CFI is a global provider of financial modeling courses and of the FMVA Certification. CFI’s mission is to help all professionals improve their technical skills. If you are a student or looking for a career change, the CFI website has many free resources to help you jumpstart your Career in Finance. If you are seeking to improve your technical skills, check out some of our most popular courses. Below are some additional resources for you to further explore:
The Financial Modeling Certification
to take your career to the next level and move up the ladder!
