Ship Finance and Investment

Short Description/Aims

Examines the problems, issues and alternative methods involved in ship finance and investment appraisal focusing on the critical evaluation of the various financial methods under risky and uncertain situations. General principles of shipping financial management and the impact of economic variables on the financial operations of shipping business organizations are presented and analysed.

Learning Outcomes

By the end of the course, participants will be able to develop/appraise/ analyse/implement:

  • Principles and terminology of maritime accounting
  • Major accounting ratios and annual financial reports
  • Financial management principles and analysis for investment purposes in shipping
  • Cash flow budgeting and investment appraisal for shipping projects
  • Alternative sources of capital for shipping projects
  • Shipping bank loans and the issuance of private and public equity and debt
  • The cost of capital and the capital structure of a shipping company

Course Outline

  • Financial assessment
  • Capital budgeting in shipping
  • Investment appraisal (NPV and IRR) in shipping
  • Bank shipping loans and bank syndication
  • Bank credit analysis
  • Issuance of a shipping loan (case study)
  • Public and private equity in shipping
  • Risks-returns across listed shipping companies (case study)
  • High yield shipping junk bonds and credit spreads
  • Cost of capital and capital structure in shipping

Teaching & Learning Methods

  • Classroom activities: teaching, case study discussions, presentations

Who should attend

The seminar can be attended by shipowners and CEOs, Treasurers and CFOs, managing directors, ship operators, ship managers, chartering managers, operations managers, charterers, shipbrokers, accountants, financial analysts, shipping fund investors, as well as postgraduate students

Additional Information

Use of practical case-studies

Course length

5 days

EC Credit

2.5 EC

Mode of Delivery

Customized