Advanced corporate finance builds on the foundations laid out by the elementary corporate finance course. This course requires students to complete financial accounting and finance as prerequisite courses. Throughout this course, students are expected to gain a deeper understanding of theories related to corporate finance and apply them to practical problems. This course will be taught in themes, with key concepts including:

1) Corporate financial management and corporate law: Introduction, corporate organization decision, analysis of corporate rules and regulation.

2) Financial markets and instruments: Long term financing strategies including convertible bonds, hybrid securities, leases and financial derivatives

3) Options theory and application: options as a financial derivative, real options, Black-litterman model.

4) Financial derivatives and hedging: standard financial derivative, trusts and hedging strategy.

5) Corporate initial public offering(IPO): Pre-IPO, IPO procedure and structural arrangements, IPO pricing and interest chain, re-financing arrangement, growth enterprise board, new OTC market, listing on stock markets.

6) Commercial bank risk management: Case study of commercial bank crises, Basel risk management theory, problems with Chinese regulation and resulting underlying risks.

7) Capital and income allocation: Corporate profits allocation, intellectual capital technology and innovation, wages allocation and China’s capitalism.

8) Corporate governance: Theory of corporate governance, types of corporate governance, case study of corporate governance problems and solutions, international corporate governance examples.