Structured finance training: Investment and development trends in financial services and capital markets

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Before understanding structured finance, you need to have a cursory understanding of what a capital market means in the financial world. A capital market is where buyers and sellers trade financial securities such as stocks, bonds, etc. The trading is done mostly in long-term securities, with the magnitude of the capital market of a nation being directly interconnected to its economic size. 

Structured Finance training is a developing trend in the capital market with huge potential and scope. In order to get a thorough understanding of this subject, Imarticus Learning has come up with a Financial Services and Capital Markets course.

This 6-month capital market certification course will give a comprehensive knowledge of the market, FinTech domains, risk, and investment banking. Imarticus has collaborated with IIM Lucknow to offer the best-in-class education for management professionals to reignite their financial services careers. This article will help you understand how structured financing works and its benefits in the capital market and financial services. 

What is Structured Finance?

Most large-scale companies face complex financing needs that conventional financing cannot always solve. This is where a financial instrument known as structured finance comes into play. It is used to mitigate risk and develop financial needs for complex emerging markets. Structured financial products are non-transferable and generally not offered by traditional lenders. Collateralized debt obligations are one of the most commonly used structured financial products.

Comprehensive Understanding of Structured Finance

Most extensive business entities have highly specified financial requirements that traditional financial instruments, such as a simple loan, cannot fulfill. These complexities are solved with structured finance involving several discretionary transactions through the implementation of evolved and less risky financial instruments. The primary goal of structured finance is to eliminate the free cash flow by providing financial solutions involving different asset classes across diverse enterprises. 

Various structured finance products and combinations of products can be used to achieve the financing necessities of large-scale borrowers. Structured finance products include:

  • Collateralized bond obligations (CBOs)
  • Hybrid securities
  • Collateralized debt obligations (CDOs)
  • Syndicated loans
  • Collateralized mortgage obligations
  • Credit default swaps (CDSs)

Benefits of Structured Finance

Large scale industries and institutions such as banks partake in complex economic activities, such as structured finance. In such cases, the amounts that are made available circulating through the global economy in this process are massive. 

If you take the example of the 2008 financial crisis in the world, you will see that the Federal Reserve bought mortgage-backed securities for roughly about $38 billion. However, while there was no flaw in the basic concept, the American economy was crippled by the ensuing vast surpluses of cash flow caused by mortgage-backed securities. 

This is a problem that can be solved by structured finance. It will help organizations restructure debt, garner savings on repayments, and free up working capital. As a result, these businesses can efficiently make their cash work. Also, it is usually helpful for companies that operate in different jurisdictions and trade globally.

Conclusion

Structured finance is a sequence of complex financial instruments that are offered to unique borrowers — usually where growth in a business is quite sophisticated compared to simpler business models. It can be roughly translated into a cyclical turn of events as below:

  • Securitized debt and lending via structures
  • Export finance
  • Growth capital via multiple debt facilities
  • Restructuring debt and refinancing 

Imarticus Learning helps you build a career in the capital market with their Financial Services and Capital Markets course and help you tap into a field that packs huge potential and career growth. 

Key Takeaways from an IIM Calcutta Investment Banking and Capital Markets certification in 2022: Knowledge, presence of mind

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An IIM investment banking and capital markets course is a very important step in the career of anyone working in the financial sector or aspiring to become a manager. Nowadays the financial sector has changed due to, among other things, the impact of new technologies.

There is a growing demand for financial directors and management controllers, where it is necessary to have strong analytical skills and a clear understanding of the financial world. This is where the secret and the importance of the program that Imarticus has created in partnership with IIM Calcutta lies.

Certification with IIM Calcutta

IIM Calcutta is internationally recognized for the quality of its high-quality management education through its doctoral and postgraduate programs. In India, IIM Calcutta is the first “triple-accredited” management school and the only business school in the country to be a member of the Global Alliance in Management Education (CEMS).

Who Is It For? 

The IIM investment banking & capital markets course is ideal for those with at least two years of relevant work experience. Professionals in the financial sector can strengthen their future thanks to the content and the way the program is constructed. Another minimum requirement to apply and be eligible is at least a minimum of 50% of the graduation/post-graduation score.

When we talk about relevant work experience, we mean all those in a finance-related position or having worked in the financial sector, e.g., in:

  • banks
  • financial corporations
  • savings and housing corporations
  • commercial finance companies
  • leasing
  • trust companies
  • insurance companies

The IIM Calcutta investment banking and capital market certification will give you all the tools you need for successful development in this sector.

Benefits of The IIM Investment Banking and Capital Markets Course

  • Campus Immersion

There is a 6-day campus immersion that will allow you to attend classes and learn from the best teachers in the country. In addition, this immersion will facilitate the formation of bonds with your classmates and professors. The exposure to diverse points of view will allow you to acquire a global perspective on different subjects.

  • Unique Curriculum

Built by experts specifically for aspiring finance professionals, the curriculum will provide you with the tebest investment banking and capital market courseschnical skills and effective understanding of investment banking and capital markets as well as their practical application.

  • IIM Calcutta Executive Education Alumni Status

Due to Imarticus’ successful partnership with IIM Calcutta upon completion of the program, you will be awarded IIMC Executive Education Alumni status. Another benefit is that you will get a 5% discount on IIM Calcutta’s long-term programs.

  • Pedagogy

Throughout the course, you will have the opportunity to work on case studies and projects from the real world. You will get a clear insight into capital markets and investment banking as well as the necessary knowledge.

Access to Advanced Modules

The Executive Programme in Investment Management will not only give you access to the fundamentals but will also allow you to deepen and broaden your knowledge through advanced modules.

  • Debt capital markets
  • Equity capital markets
  • Mergers, Acquisitions, and restructurings
  • Portfolio fund management
  • Securities market research and valuation
  • Securities market sales and trading
  • Securities market regulations

Real-World Experience

One of the most important things to retain about the IIM Calcutta investment banking and capital markets certification is the opportunity to learn from real-world case studies. This is why it is the ideal program to advance your career in the financial world.

Is taking CAT 2022 required for an IIM Calcutta Investment Banking and Capital Markets course?

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The Executive Programme in Investment Management in collaboration with IIM Calcutta is the perfect course for experienced professionals looking to advance and strengthen their professional futures. To continue your studies in an IMM you must have taken a CAT exam, in the case of the executive program taught by Imarticus in collaboration with IMM Calcutta, this is not necessary.

However, it is still important to know what the CAT exam is and what the requirements are for the IIM Calcutta Investment Banking and Capital Markets course.

What is the CAT exam?

In India, the Common Admission Test (CAT) is one of the most reputed entrance exams to management institutes in the country. The Indian Institute of Management (IMM) conducts this test on a rotational basis. 

The CAT exam has a specific syllabus, and it is common to prepare for it so as to devote adequate time to each section. The test is made up of three main sections:

  • Quantitative Aptitude: Arithmetic, mensuration, geometry time and work, number system, and algebra.
  • Logical reasoning and Data Interpretation: Seating Arrangement, Syllogism, puzzles, blood relation, data case lets, graphs, decoding, and coding tables.
  • Verbal ability and reading comprehension: Para summary, Para jumbles, verbal ability, reading comprehension, and odd sentence out.

In the case of the IIM Investment Banking and Capital Markets course offered by Imarticus in collaboration with IMM Calcutta, this exam is not a prerequisite to apply for the program. However, of course, other requirements must be met in order to apply.

What Do You Need to Apply for The IIM Calcutta Capital Market Certification?

The IIM Investment Banking and Capital Markets course is perfect for those looking to become a director or simply looking to boost their career. The minimum requirements to apply for the program are:

  • minimum 2 years of relevant professional experience.
  • minimum 50% marks in graduation/postgraduation.

Being part of the IIM investment banking & capital market course will give you the tools to enhance the productive development of any company. The knowledge and experience will help you develop strategies to achieve your goals or even set them.

What Will You Learn with This Certification?

Investment banking is in charge of helping private companies, governments, and individual clients to raise capital. To raise such funds, investment banking positions itself as the client’s agent in order to place securities (through issuance and sale) in the capital markets. 

On the other hand, the capital markets offer a wide range of financial products with different levels of risk for all types of investors. This variety allows a wide range of people to invest, those who have a lot of capital and those who have little, those who specialize in the field and those who are beginners, those who play it safe, and those who risk more.

In general, you will not only understand these concepts, but you will know how to use them throughout your career. Some of the topics you will have the opportunity to study in IIM Calcutta’s capital markets certification are:

  • mergers, acquisitions, and restructurings
  • portfolio fund management
  • securities market research and valuation
  • securities market sales and trading
  • securities market regulations
  • financial accounting and analysis
  • financial management
  • financial economics
  • debt capital markets
  • equity capital markets

Imarticus is proud to partner with IMM Calcutta to offer this great program where you will not only learn the fundamentals but also the advanced components of Investment Banking and Capital Markets.