Valuing a Bank Under IAS/IFRS and Basel II

[Rachel Thompson]

I enclose details of our best selling IFRS and Basel II Guide.   
   
Financial Institutions: what are they really worth?    
   
This complete self-study work book provides anyone involved in the valuation of a commercial bank for acquisitions or credit analysis with the essential tools and applications under the International Accounting Standards, International Financial Reporting Standards and within the Basel II environment.    

http://www.researchandmarkets.com/product/80da05/valuing_a_bank_under_iasifrs_and_basel_ii   
   

This is a hands-on tutorial designed to unravel the complexities of valuation, and leads you through the application of specific models. The workbook is replete with real-life examples, case studies, exercises and self-test questions.   
   
Discrete modules will give you the fundamentals and the applications affecting:    
-bank valuation    
-disclosure    
-book to market value    
-valuation models    
-cash-flow valuation    
-GAP value drivers    
-equity valuations    
-enhancing valuation with credit derivatives    
-capital adequacy issues.    
   
Appendices include key equations, examples and explanations of:    
-time value of money    
-embedded options and applications    
-description of bond ratings    
-regulatory capital arbitrage    
-financial statements   
   
By the end, you will understand not only how bank mergers add value, how to choose your target, the standards applicable to the preparation of financial statements by banks, understand all of the relevant mathematical formulae, the controversies in bank valuation, and bring you up to date with the compatibility of regulatory capital and increasing shareholder value.   
   
Includes complete self-test exercises, answers and full glossary of terms.   
   

For a complete overview of this report click on:   
http://www.researchandmarkets.com/product/80da05/valuing_a_bank_under_iasifrs_and_basel_ii   
   

Report Index:   
   
Module 1:Starting the Process of Valuing A Bank   
   
Introduction   
Factors affecting bank valuation   
How mergers add value   
What makes a merger unattractive   
Three-step valuation process   
Market value approach   
Equity value approach   
Bank risks   
Data gathering   
Summary   
   
   
Module 2: IAS/IFRS Disclosure for Banks   
   
Accounting policies under IAS 30   
Preparation and Presentation of Banks' Financial Statements   
Cash Flow Statement for Banks   
Disclosure Requirements for Banks and Similar Institutions   
Maturities of Assets and Liabilities   
IAS 39 and hedging asset/liability mismatch   
Concentration of Assets, Liabilities and Off-Balance Sheet Items   
Losses on Loans and Advances   
Related party transactions and other disclosures   
Deficiencies of IAS 30   
Proposed IFRS to Replace IAS 30-Preliminary Recommendations   
Merger Accounting for Banks   
Summary   
   
   
Module 3: Book to Market Value   
   
Current market values versus historical costs    
FMV and a Bank's Assets and Liabilities: book to market implications   
Determining the quality of the loan portfolio: a framework   
Market value of fixed assets   
Sales value of investment portfolio   
Goodwill and other adjustments   
Derivative financial instruments   
Off-balance sheet items   
Hedging issues   
Case study example of book value to fair market value   
Annex: Example of cash flow hedge   
   
   
Module 4: Market Valuation Models   
   
Model Basis   
Appropriate discount rate   
Model usage for assets   
Model usage for liabilities   
Model equations and formulas   
Summary of valuation concepts   
   
   
Module 5: Cash Flow Valuation for Banks   
   
Cash flow and the equity approach   
Free cash flow to shareholders   
Discounted cash flow   
Application to a bank   
Estimating free cash flow   
Step 1: Identifying the relevant components of free cash flow   
Step 2: Developing an integrated historical perspective   
Step 3: Forecasting changes in net interest income (NII) and developing the forecast assumptions   
Step 4: Calculating and evaluating the resulting free cash flow forecast   
Case study application   
   
   
Module 6: GAP Value Drivers   
   
Static GAP   
Dynamic GAP   
Determinants of rate sensitivity   
Factors affecting net interest income   
Changes in the Level of Interest Rates   
Changes in the Relationship Between Short-Term Asset Yields and Liability Costs   
Rate Sensitivity Reports   
Strengths and Weaknesses: Gap Analysis   
Managing the GAP   
Link Between Gap and Net Interest Margin   
Sensitivity and Simulation Analysis   
The Duration Gap: Managing the Market Value of Equity   
A Duration Application for Banks   
An Immunized Portfolio   
GAP versus Duration Gap: Which Model is Better?   
Macrohedging and the GAP   
Hedging and Duration Gap   
   
   
Module 7: Equity Value Application   
   
Free cash flow valuation:   
Capital asset pricing model (CAPM),    
Dividend valuation model, and    
Targeted return on equity model.   
Case applications   
Premium to book value   
Premium to adjusted book value   
Price to earnings per share   
Price to prevailing share price   
Return on investment approach   
EPS dilution constraints   
Historical performance analysis   
Case study implications   
Nonfinancial considerations that affect mergers and acquisitions   
Summary   
   
   
Module 8: Enhancing Bank Value with Credit Derivatives   
   
Definition of credit derivatives   
Types of credit derivatives:   
Credit options   
Credit swaps   
Credit-linked notes   
The credit default swap   
Protection sellers   
Settlement risk   
Correlation   
Protection buyers   
Optimizing returns on regulatory capital   
The total return swap   
Credit risk   
Maturity   
Value advantage   
The principal-protected structure   
Summary   
   
   
Module 9: Basel II and Bank Value   
   
Definitions of capital   
Background to Basel I   
Basel II:   
Pillar 1 - capital adequacy requirement   
Credit risk   
Market risk   
Operational risk   
Pillar 2 - supervisory review   
Pillar 3 - market discipline   
Internal growth rate of capital (IGRC): a measure of the link between profitability and capital   
Supplementary traditional capital ratios   
Can shareholder value be added under Basel II?   
Factors motivating regulatory capital arbitrage   
Capital arbitrage in practice   
Summary   

   
      
Pricing:   
   
Hard Copy : EUR 260   
   


Ordering - Three easy ways to place your order:   
   
1] Order online at http://www.researchandmarkets.com/product/80da05/valuing_a_bank_under_iasifrs_and_basel_ii   
   
2] Order by fax: Print an Order form from http://www.researchandmarkets.com/product/80da05/valuing_a_bank_under_iasifrs_and_basel_ii and Fax to +353 1 4100 980   
   
3] Order by mail: Print an Order form from http://www.researchandmarkets.com/product/80da05/valuing_a_bank_under_iasifrs_and_basel_ii and post to Research and Markets Ltd. Guinness Center, Taylors Lane, Dublin 8. Ireland.   
   
   

Related report also available from Research and Markets:   
   
The Basel Handbook (2nd edition) - http://www.researchandmarkets.com/product/80da05/the_basel_handbook_2nd_edition   
   


Thank you for your consideration.   

Best Regards,   
   
Rachel Thompson
Senior Manager
Research and Markets Ltd
rachel.thompson na researchandmarkets.com   
   


Subscribe: Click on http://www.researchandmarkets.com/register.asp You can subscribe free for regular details on new research in your sector.   
   
Please note you are currently subscribed as talk na linux.cz   
   
If you no longer wish to receive our market research updates, please reply to this message with Suppression Request as the subject line, or use the link below   
   
http://www.researchandmarkets.com/unsubscribe.asp?functionx=unsubscribe&email=talk@linux.cz