BIWS Bank & Financial Institution Modeling
- Master the fundamentals and nuances of bank and financial institution accounting, valuation, and financial modeling with detailed, step-by-step video training. You'll gain skills that are NOT taught in undergraduate or MBA programs... but which any FIG team at a bank or any financials-focused private equity firm or hedge fund will expect you to know.
- Quickly grasp the concepts and skills via 4 detailed case studies: The first case study teaches you how to build an operating model and valuation for Shawbrook, a U.K.-based "challenger bank," and how to use those models to make an investment recommendation for the company. The second case study covers KeyCorp's $4.1 billion acquisition of First Niagara and how bank M&A deals are different, and the last two case studies are private equity/growth equity-related - for ANZ (one of the Big 4 Banks in Australia) and the Philippine Bank of Communications.
- Dominate your interviews. For your convenience, we provide 13 Overview videos, along with written notes and slides, on the topics most likely to come up in interviews. If you're short on time, you can get up to speed with these in under an hour and review all the concepts in short order - even if your interview is tomorrow and you just found out about it 5 minutes ago.
- Learn how to write hedge fund stock pitches, equity research reports, and IB pitch books for banks. Most financial modeling training programs teach you the formulas; we teach you how to use the Excel models in real life to make money and advise clients. The Shawbrook case study builds up to a 32-page stock pitch, a 13-page equity research report, and a 48-slide investment banking pitch book where you make an investment recommendation and advise the company on its best options.
- Overview lessons cover a bank's financial statements, regulatory capital under Basel III, loan loss accounting, and a simplified 3-statement projection model and valuation you can use in time-pressured case studies. You'll also learn about regional differences by analyzing banks' financial statements across the 6 inhabited continents. This module concludes with an overview of Dodd-Frank, CRD IV, and U.S./E.U. stress testing.
- Operating Model lessons teach you how to project Shawbrook's loan portfolio based on GDP growth and market share across multiple scenarios, and how you can use those figures, plus its anticipated credit losses and interest spreads, to derive its three financial statements. You'll also learn how to estimate key figures like the Liquidity Coverage Ratio and Net Stable Funding Ratio, even when the company does not fully disclose this information.
- Valuation Module covers public comps and precedent transactions for a bank, a regression analysis, and a multi-stage dividend discount model and residual income (excess returns) model. You'll learn how to adjust for non-recurring charges and excess or deficit capital, and you'll use the output of this analysis to make an investment recommendation and to advise the company as if it were a client.
- M&A Module teaches you how to model the acquisition of a commercial bank, including bank-specific features such as loan marks, deposit divestitures, core deposit intangibles, and the write-down of the Allowance for Loan Losses. You'll get both a simplified bank merger model and a full, complex one for KeyCorp and First Niagara, and you'll use both models to answer case study questionsand recommend for or against these deals.
- Bank Buyout and Growth Equity Lesssons are based on case studies of ANZ and the Philippine Bank of Communications; you'll learn how private equity firms invest in the financial services sector, how minority-stake deals differ from control deals, and how to analyze the returns to equity investors in different cases. You'll also learn how NPL divestitures and funding raised to boost a bank's Net Stable Funding Ratio work in a private equity context.
- Bonus Insurance Lessons provide an introduction to the insurance industry, including how accounting, the financial statements, and valuation differ. We walk through an introductory 3-statement insurance model for a new firm and explain how to value both a property & casualty (P&C) insurance company and a life insurance firm.
- Test Your Knowledge with Practice Exercises and Quizzes. You'll get "Before" and "After" Excel files for each lesson - follow along with the lesson, and then check your answers afterward. You can also test your knowledge with end-of-module practice quizzes (over 150 questions and answers total).
- Get Instant Access. Since everything is delivered online, you get Instant Access to everything as soon as you sign up. No delays or scheduling conflicts, and no packages in the mail to worry about.
- Track Your Progress and Take Notes. Thanks to our custom-designed online learning platform, you can check off each module as you go and take notes on all the lessons for your future reference.
- Expert Support. We have a team of experienced bankers standing by 365 days per year, any time within 24 months of purchase, to respond to your questions, comments, and emails. Even if you have a question on Christmas Day or New Year's, you're covered by our support services. Note that we cannot complete assignments for you, but we're happy to answer specific questions.
- Unconditional Money-Back Guarantee. Our courses are the only financial modeling training programs of their kind to come with an unconditional 90-Day Money-Back Guarantee.
- Course Certification. After completing the course material, you'll be eligible to take our Certification Quiz. Once you pass the quiz, you'll receive a Certificate that you can add to your resume / CV and refer to in interviews. So you won’t just possess these skills, you’ll be able to prove you possess these skills. Bankers love that.
What You Get... And What the BIWS Bank & Financial
Institution Modeling Course Will Do For You...
Here's what you'll learn via the detailed global case studiesin the course:
The information you'll find is so detailed and so thorough that our regular customers come from top-ranked universities, investment banks, and business schools.
Once you've completed the training, here's what you can immediately add to your resume / CV:
Bank & Financial Institution Modeling (BIWS)
Online Financial Modeling Training Program
- Completed FIG modeling and valuation training based on case studies of Shawbrook, KeyBank’s $4.1 billion acquisition of First Niagara, ANZ, and Philippine Bank of Communications; also completed insurance modeling lessons
- Built 3-statement operating model for Shawbrook based on loan market share and GDP growth, net charge-offs and provisions, and spreads on interest-earning assets and interest-bearing liabilities; projected financial statements and calculated CET 1 Ratio, Net Stable Funding Ratio, and Liquidity Coverage Ratio
- Valued Shawbrook using dividend discount model, residual income (excess returns) model, regression analysis, and public comps and precedent transactions with P / E and P / TBV multiples; concluded that company was 30-50% overvalued and made “Short” recommendation in detailed stock pitch
- Built complex merger model for KeyBank and First Niagara, including support for mark-to-market adjustments, deposit divestitures, core deposit intangibles, the write-down of the Allowance for Loan Losses, and synergies; valued synergies, calculated accretion / dilution and IRR, and recommended against the deal due to marginal benefits from the seller
- Created bank growth equity model for ANZ to analyze follow-on offering that would boost the bank's Net Stable Funding Ratio under APRA rules; calculated returns to equity investors and recommended investment due to achievement of the targeted returns across cases and minimal downside risk
- Built bank buyout model for Philippine Bank of Communications to assess a 100% control transaction for the company combined with a Nonperforming Loan (NPL) Divestiture; calculated returns to equity investors and recommended against deal due to lower-than-targeted returns in Base and Upside cases
- Built P&C insurance operating model based on GWP growth, premium rates, reinsurance, ceded premiums, loss & LAE ratio, and commissions; also learned P&C insurance valuation and Embedded Value for life insurance
Gain Official Recognition of Your Training With BIWS Certifications
After completing the course materials, you’ll be eligible to take our challenging Certification Quiz. Once you earn a score of at least 90%, you’ll be issued a personalized Certificate of Achievement with your name, the course name, and the date you passed the quiz:
Add your Certificate of Achievement to your resume/CV and/or present it in interviews to set yourself apart from other candidates.
We also make sure employers know that this is a serious qualification: Your certificate will contain a link where prospective employers can review what’s on our exams and what you must master to receive certification.
Unlike other training companies that “issue certifications,” our process is completely transparent: you can literally point to the exact questions you had to answer to pass the quiz and become certified.
Once interviewers see you really do have the "chops" to be a banker, your chances of hiring success go way, WAY up.
Access Your Training Instantly
The entire Breaking Into Wall Street course is delivered online - no deliveries to wait on and worry about, and you get instant access when you sign up. You also get FREE updates as they're released, as well as lifetime access to all the lessons.
Once your BIWS order is complete, you'll receive an email with login instructions - follow the simple instructions and you'll be able to access all the videos, Excel files, transcripts, and Quick Start Guides immediately.
Get a Crash-Course Overview of Insurance Modeling & Valuation With 13 Bonus Lessons on Insurance
Let’s face it: It is nearly impossible to find useful, substantial information on insurance modeling and valuation anywhere (I’ve looked many times!).
That’s why we added a set of 13 bonus lessons on introductory insurance modeling and valuation to this Bank & Financial Institution Modeling course.
It’s not a comprehensive treatment of insurance, but it is sufficient for interviews. And best of all, it’s short – only 6 hours of training, which is ideal for weekend cramming or last-minute prep before interviews.
Here’s what you get in this set of bonus lessons:
First, you’ll start with an overview of insurance modeling and how insurance companies differ from both commercial banks and “normal companies.”
Then, you’ll delve into insurance accounting: How companies record premiums and revenue, including Gross Written Premiums, Ceded and Assumed Premiums, and Net Written and Earned Premiums.
You’ll understand how the premiums are reflected in the financial statements and how they affect items such as the Unearned Premium Reserve (UEPR). You’ll also learn how the premiums “flow” from Direct Written Premiums down to Net Earned Premiums.
On the expense side, you’ll learn how Losses & LAE, Commissions, and other line items are recorded, and how insurance companies create “Loss Triangles” based on cash vs. book differences.
Next, you’ll see examples of real financial statements from a property & casualty (P&C) insurance company (Travelers Companies) and life insurance company (MetLife), and you’ll understand the key differences between them.
After these introductory lessons, we delve into a simplified 3-statement model and valuation for a new P&C insurance company, which covers:
- Premium and Loss projections, including how ceded losses flow through the statements.
- Balance Sheet and Cash Flow Statement projections, including how the reserves, Deferred Acquisition Costs, Cash, Investments, and Equity change.
- Statutory adjustments and key metrics and ratios, including the Combined Ratio, the Solvency Ratio, and how to calculate Statutory Net Income and the Statutory Capital & Surplus.
- Example comparable public companies, including sample selection criteria and key valuation multiples.
- A Dividend Discount Model based on a minimum Solvency Ratio, and a Net Asset Value (NAV) model.
After this 3-statement model, you’ll get an overview of embedded value, which is a key valuation methodology specific to life insurance.
Finally, we wrap up with a comparison of P&C and life insurance companies and explain the business model, financial statement, and valuation differences.
Again, this Bank Modeling course focuses on commercial banks and lending firms, so these bonus lessons do not represent a comprehensive treatment of insurance.
However, it is a very useful “crash course” that will get you through interviews and let you answer insurance-related accounting and valuation questions crisply and effectively.
We could sell this set of lessons separately for $100, but it’s yours for free once you sign up for the Bank & Financial Institution Modeling course.
By the end of this module,
you’ll be able to discuss insurance company modeling, accounting, and valuation with confidence. You’ll understand the key business model differences, how insurance firms differ from commercial banks, and how P&C differs from life insurance. And you won’t be caught off-guard when insurance-related questions come up in interviews.
Sign up now to take advantage of this offer and receive FREE access to this set of 13 bonus lessons on Insurance.
100% Unconditional Money-Back Guarantee
Take a Sneak Peek Inside Our Custom-
Designed Interactive Learning Portal
Click on the videos below to see for yourself exactly the content and style
of instruction you'll get after you sign up:
Here's a sample video from the Bank Overview module
on how to link a bank's Balance Sheet to its Income Statement and Cash Flow Statement:
Here's another sample video from the Operating Model module
on how to project dividends and share issuances for Shawbrook,
based on its targeted regulatory capital levels:
And here's another sample lesson from the Valuation
module on how to project phases 2 and 3 in a multi-stage
dividend discount model over 15 years:
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