In this article, Nithisha CHALLA (ESSEC Business School, Grande Ecole Program – Master in Management, 2021-2023) presents the KOSPI 50 index representing the South Korean equity market and details its characteristics. The KOSPI 50 index A well-known stock market index in South Korea, the KOSPI 50 index serves as a crucial benchmark for the South … Read more
In this article, Nithisha CHALLA (ESSEC Business School, Grande Ecole Program – Master in Management, 2021-2023) presents the BEL 20 index representing the Belgian equity market and details its characteristics. The BEL 20 index The top 20 companies listed on Euronext Brussels, Belgium’s main stock exchange, make up the BEL 20 index, a stock market … Read more
The Collapse of Silicon Valley Bank (2023) In this article, Mirabelle DING (Telfer School of Management, Bachelor in Finance, 2015-2019) analyzes the collapse of Silicon Valley Bank (SVB). On March 10th 2023, Silicon Valley Bank, the primary financial institution for the US technology sector, was shut down by California and Federal regulators due to illiquidity … Read more
The Wilshire 5000 index In this article, Nithisha CHALLA (ESSEC Business School, Grande Ecole Program – Master in Management, 2021-2023) presents the Wilshire 5000 index and details its characteristics. The Wilshire 5000 index The Wilshire 5000 index was launched in 1974 by Wilshire Associates, an investment management company based in California. It monitors the performance … Read more
In this article, Pranay KUMAR (ESSEC Business School, Master in Strategy & Management of International Business (SMIB), 2022-2023) comments on a quote about the time value of money. Quote “Remember that time is money.” – Benjamin Franklin Analysis of the quote Time value of money is the concept that the value of money changes over … Read more
Dans cet article, Shengyu ZHENG (ESSEC Business School, Grande Ecole – Master in Management, 2020-2023) présente la directive Solvabilité II pour les compagnies d’assurance. Vue globale Solvabilité II (surnom de la Directive 2009/138/CE du Parlement européen et du Conseil du 25 novembre 2009) est une réglementation européenne qui s’applique aux compagnies d’assurance. Elle a pour … Read more
My Internship Experience at Kearney In this article, Jianen HUANG (ESSEC Business School, Master in Strategy & Management of International Business (SMIB), 2021-2023) shares his professional experience as a consulting intern at Kearney. Kearney Kearney is a global management consulting firm that specializes in helping clients achieve their strategic goals and solve complex business challenges. … Read more
Financial indexes In this article, Nithisha CHALLA (ESSEC Business School, Grande Ecole Program – Master in Management, 2021-2023) explains financial indexes, their construction and their use in the finance. Definition What is an index? An index can be defined as a measure of a quantity. An index is a measure of quantity that can be … Read more
My experience as an intern in the Corporate Finance department at Maison Chanel In this article, Martin VAN DER BORGHT (ESSEC Business School, Master in Finance, 2022-2024) shares his professional experience as a Corporate Finance intern at Maison Chanel. About the company Chanel is a French company producing haute couture, as well as ready-to-wear, accessories, … Read more
In this article, Youssef LOURAOUI (Bayes Business School, MSc. Energy, Trade & Finance, 2021-2022) discusses the notion of hedge fund diversification by analyzing the paper “Hedge fund diversification: how much is enough?” by Lhabitant and Learned (2002). This article is organized as follows: we describe the primary characteristics of the research paper. Then, we highlight … Read more
In this article, Youssef LOURAOUI (Bayes Business School, MSc. Energy, Trade & Finance, 2021-2022) presents the dedicated short bias strategy. The strategy holds a net short position, which implies more shorts (selling) than long (buying) positions. The objective of the dedicated bias strategy is to profit from shorting overvalued equities. This article is structured as … Read more
Fixed-income arbitrage strategy In this article, Youssef LOURAOUI (Bayes Business School, MSc. Energy, Trade & Finance, 2021-2022) presents the fixed-income arbitrage strategy which is a well-known strategy used by hedge funds. The objective of the fixed-income arbitrage strategy is to benefit from trends or disequilibrium in the prices of fixed-income securities using systematic and discretionary … Read more
In this article, Youssef LOURAOUI (Bayes Business School, MSc. Energy, Trade & Finance, 2021-2022) presents the global macro equity strategy, one of the most widely known strategies in the hedge fund industry. The goal of the global macro strategy is to look for trends or disequilibrium in equity, bonds, currency or alternative assets based on … Read more
In this article, Youssef LOURAOUI (Bayes Business School, MSc. Energy, Trade & Finance, 2021-2022) elaborates on the concept of Minimum Volatility Portfolio, which is derived from Modern Portfolio Theory (MPT) and also in practice to build investment funds. This article is structured as follows: we introduce the concept of Minimum Volatility Portfolio. Next, we present … Read more
Arbitrage Pricing Theory (APT) In this article, Youssef LOURAOUI (Bayes Business School, MSc. Energy, Trade & Finance, 2021-2022) presents the concept of arbitrage portfolio, a pillar concept in asset pricing theory. This article is structured as follows: we present an introduction for the notion of arbitrage portfolio in the context of asset pricing, we present … Read more
A quick review of an Analyst in Transaction Services’ job… In this article, Louis DETALLE (ESSEC Business School, Grande Ecole Program – Master in Management, 2020-2023) explains what does an analyst in Transaction Services work on. What does Transaction Services consist in? The Transaction Services consultant assists clients and advises them on their financial transactions. … Read more
In this article, Louis DETALLE (ESSEC Business School, Grande Ecole Program – Master in Management, 2020-2023) interviews a former Transaction Services intern at EY. First of all, let’s recall what Transaction Services consists in? The Transaction Services (TS) consultant assists clients and advises them on their financial transactions like disposals, mergers and acquisitions and restructuring. … Read more
In this article, Youssef LOURAOUI (Bayes Business School, MSc. Energy, Trade & Finance, 2021-2022) presents the long-short equity strategy, one of pioneer strategies in the hedge fund industry. The goal of the long-short equity investment strategy is to buy undervalued stocks and sell short overvalued ones. This article is structured as follow: we introduce the … Read more
A quick review of the M&A – Real Estate job… In this article, Louis DETALLE (ESSEC Business School, Grande Ecole Program – Master in Management, 2020-2023) explains how is working as an M&A Analyst in Real Estate any different from being a general M&A. Let’s recall what M&A is and then, we will assess how … Read more
Approaches to investment In this article, Henri VANDECASTEELE (ESSEC Business School, Master in Strategy & Management of International Business (SMIB), 2021-2022) explains the two main approaches to investment: fundamental analysis and technical analysis. Fundamental analysis Fundamental analysis (FA) is a way of determining the fundamental value of a securities by looking at linked economic and … Read more