When it comes to finance, most people may reflexively think of “Wall Street”, “investment banking”, and financial people often say “Financial Modeling”.
\nAmong them, Financial Modeling is a very high level for many laymen. So what kind of existence is this “Financial Modeling”?
\nWhat are Financial Models?
\nIn a nutshell, Financial Modeling is the calculation of various reference values (such as the commonly used indexes) over a period of time by adding, subtracting, multiplying and dividing, which is used for investment analysts to write reports or research.
\nBut not only the four operations is very simple and low, behind the fact that involves a lot of logical judgment, exchange rate conversion, time difference conversion, each point in time corresponding to the value of storage.
\nSomeone once compared modeling to the process of “distilling coffee”.
\nThe coffee beans are “10K\/10Q\/SEC Fillings”;
\nThe grinding tool is a software or language such as Excel sheet;
\nThe extract is the final thesis, i.e. the investment view.
\nTherefore, a good cup of “financial coffee” requires not only good coffee beans, but also powerful grinding tools to get a delicate extract to make such a satisfactory cup of coffee.
\nApplication of inancial Models
\nAccounting or finance: History and forecast of three financial statements;
\nFor project investment or project management: NPV\/IRR models, etc;
\nFor equity and bond investment: market size forecast, investment value forecast (DCF and Comparable, etc.), etc., return forecast for various types of equity;
\nTrading: model estimation and execution strategies for various financial products (FX, derivatives, etc.), etc.
\nAQF: quantitative financial analyst (AQF, Analyst of Quantitative Finance) by the Standard Committee of Quantitative Finance (SCQF) examination and certification, is a professional level certificate representing the field of quantitative finance.<\/p>\n","protected":false},"excerpt":{"rendered":"
When it comes to finance, most people may reflexively think of “Wall Street”, “investment banking”, and financial people often say “Financial Modeling”. Among them, Financial Modeling is a very high level for many laymen. So what kind of existence is this “Financial Modeling”? What are Financial Models? In a nutshell, Financial Modeling is the calculation of various reference values (such as the commonly used indexes) over a period of time by adding, subtracting, multiplying and dividing, which is used for investment analysts to write reports or research. But not only the four operations is very simple and low, behind the […]<\/p>\n","protected":false},"author":1,"featured_media":2473,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"fifu_image_url":"http:\/\/www.financial-insurance.com\/wp-content\/uploads\/2020\/12\/business-gad51ae3c8_1920.jpg","fifu_image_alt":"Records connect some Ukraine journal settlements to ex-Trump assistant Paul Manafort","footnotes":""},"categories":[3],"tags":[76,86,88,77,87,262,261,263],"class_list":["post-1936","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-financial","tag-branch-financial","tag-financial","tag-financial-advice","tag-financial-news","tag-financial-tips","tag-paul-manafort","tag-president-trump","tag-ukraine"],"_links":{"self":[{"href":"http:\/\/www.financial-insurance.com\/index.php?rest_route=\/wp\/v2\/posts\/1936","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/www.financial-insurance.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.financial-insurance.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.financial-insurance.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/www.financial-insurance.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1936"}],"version-history":[{"count":3,"href":"http:\/\/www.financial-insurance.com\/index.php?rest_route=\/wp\/v2\/posts\/1936\/revisions"}],"predecessor-version":[{"id":2472,"href":"http:\/\/www.financial-insurance.com\/index.php?rest_route=\/wp\/v2\/posts\/1936\/revisions\/2472"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/www.financial-insurance.com\/index.php?rest_route=\/wp\/v2\/media\/2473"}],"wp:attachment":[{"href":"http:\/\/www.financial-insurance.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1936"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.financial-insurance.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1936"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.financial-insurance.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1936"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}