Professor of Finance Aharon Ofer has been a visiting professor of finance at the Kellogg Graduate School of Management since 1983. He is also a full professor in the Graduate School of Business at Tel Aviv University. At Kellogg, Professor Ofer teaches courses in corporate finance.

His research interests are in the areas of investments and corporate finance. He has received grants for research from the Bradley Foundation, Kellogg's Banking Research Center, the Israel Institute of Business Research, and the Pinhas Sapir Center for Development.

Professor Ofer is an author of more than 25 papers published in academic journals, including the Journal of Finance, the Journal of Banking and Finance, the Review of Financial Studies, Decision Science, and The Accounting Review. He also serves as a referee for journals in finance and accounting. He has often presented papers at conferences, especially at meetings of the European, Western, and American Finance Associations. His professional activities include chairing the Finance and Accounting Group at Tel Aviv University as well as its curriculum committee at the School of Business from 1987 - 1991.

Professor Ofer received the Best Teacher Award at Kellogg in 1986 and was named an outstanding member of the faculty of Tel Aviv University, 1988. He is a member of the American Finance Association, Western Finance Association, and European Finance Association.

• BA, Hebrew University of Jerusalem
• MA, The University of Pennsylvania
• PhD, The University of Pennsylvania

• L.G. Lavengood Outstanding Professor of the Year Award, Kellogg School of Management, 1985

Corporate Finance

Learn how you can create greater shareholder value by valuing investments more accurately, making more informed financial decisions and designing a more consistent, cohesive corporate investment and finance strategy.

Accelerated Corporate Finance (FINC-440-0)
Corporate finance covers the financial knowledge you need to run a firm, whether the firm is a multi-billion dollar international conglomerate or a three-person start up. Accelerated Corporate Finance will combine the material from Finance 1 and Finance 2 in an intensive one-quarter course. We will cover valuation (discounted cash flow, multiples, and real options), capital structure (how firms finance themselves and how they manage risk), and payout policy (should firms return capital to investors and if so how). For more details, you should read the descriptions of Finance 1 and Finance 2. The logical concepts will be covered in class, technical skills and intuition will be developed in class and through online exercises, and then the logic and tools will be applied to a set of valuation, financing, risk management, and payout cases. Given the pace of the course, students are expected to be prepared to put in the extra effort in class and outside of class. Basic finance knowledge (discounting) and accounting is assumed

Prerequisite: Business Analytics I (DECS-430-5)

Corequisite/Prerequisite: Accounting for Decision Making (ACCT-430) and Business Analytics II (DECS 431-0)

Finance II (FINC-431-0)

Finance II: Corporate Finance covers the financial knowledge you need to run a firm, whether the firm is a multi-billion international conglomerate or a three-person start up. You will learn how to answer the three fundamental question of corporate finance: (1) Capital structure or the funding decision: which source(s) of capital should you use to fund the firm's project? (2) Capital budgeting or the investment decision: which projects should you invest in? (3) Dividend decision: how should you deploy the capital that the project returns?

We will cover the three fundamental methods for valuing projects and firms: discounted cash flow (or net present value), real options, and multiples analysis. The class begins with a theoretical framework. The world of finance is very complex. Without a logical structure that you can use to frame and answer questions, you will rapidly become lost and will be unable to defend your position. The theoretical framework is valuable, however, only if you can use it to examine real world decisions. Thus the majority of class time will be devoted to applying the logical framework.

This course is important for anyone who plans to run a firm or a division, who hopes to be involved in the investment or funding decisions of the firm, who plans to work for a service provider who will assist the firm in analyzing these decisions (e.g., banking and consulting), or who plans to invest in firms or advise clients who will invest in firms. Even if you initially specialize in a different functional area, you want to understand how the finance function works. The most brilliant idea isn't useful if you cannot get it funded.

Recommended Prerequisites: ACCT-430 and MECN-430

Finance I (FINC-430-0)

Finance 1 answers managers' and investors' most fundamental finance question: how should a project or an asset be valued? Managers must determine the value of building a factory, entering a new market, or purchasing an entire firm when deciding in which projects to invest. Similarly, individuals must assess the value of financial securities to decide how to invest their wealth. Using a combination of lectures and business cases, Finance 1 teaches the discounted cash flow and multiples methods to value projects or assets. These valuation tools lay the foundation for all work in capital markets and corporate finance.

Prerequisite: Business Analytics I (DECS-430-5)

Corequisite/Prerequisite: Accounting for Decision Making (ACCT-430) and Business Analytics II (DECS 431-0)