FIN 605 – Financial Management in Organizations – Week 1

Week 1 – The Role and Objective of Financial Management

This will be a survey course so there won’t be much deep diving into corporate finance but rather an overview of financial management in an organization. Interestingly enough I did this type of work for a few years and I’m going to appreciate learning more about it in terms of what I saw. I also remember finance as an undergrad many years ago and utilizing those time value of money tables and I am glad this time around I know how to use both Excel and a financial calculator now.

The number one lesson this week relates to shareholder wealth maximization and how that is the goal of management and the firm. We also talked about market efficiency, which I found interesting in terms of how information affects the value of stock. Evidently, our markets are so efficient than any out-sized return can only most likely point to possible insider trading. Or, being a member of Congress.

This is also the first class where we have weekly meetings with our professor. There will be an exam each week, video lessons to review, and significant reading to be completed each week. The week itself was mostly conceptual, next week we will start doing more calculations.