This is an advanced corporate finance class designed to help students develop expertise on capital structure, corporate debt, credit cycles, and distressed debt investing. We will start with basic fixed income asset pricing terms and techniques. We will then review the types of debt securities firms issue with an emphasis on their priority over cash flows and their control provisions. We will discuss syndicated loans, asset-backed debt, private placements, direct lending (also referred to as private credit), and bonds. We will cover cases in which distressed debt investors evaluate investment opportunities, developing financial models to assess the value of the securities. We will also discuss the credit default swap market, and how it is used by investors in the distressed debt investor space.
Class Meets Summer 2023: 8/14, 8/15, 8/17, 8/18, 8/19