Principles of Financial Modelling
Principles of Financial Modelling covers the full spectrum of financial modelling tools and techniques, which are drawn from the author's years of experience in dealing with a wide variety of real-world applications, both from consulting projects and from conducting training courses. The book demonstrates how to plan, design and build financial models that are flexible, robust, and transparent, and which are applicable to many decision-support contexts, including forecasting, business planning, project evaluation and selection, portfolio optimisation, and resource allocation.
The book includes extensive coverage of:
- Model design and best practices, including the optimisation of data structures and layout, maximising transparency, balancing complexity with flexibility, dealing with circularity, model audit and error-checking
- Sensitivity and scenario analysis, simulation, and optimisation
- Data manipulation and analysis
Principles of Financial Modelling also provides practical examples of the use of most Excel functions, and an in-depth treatment of VBA and its key areas of application within financial modelling, including the automation of many tasks to improve efficiency in areas such as data analysis and manipulation, simulation, and user-defined functions.