Basic Course on Fundamental Analysis
The basic training course is designed to explain Fundamental Analysis method of security valuation which involves examining the company’s financials and operations, especially sales, earnings, growth potential, assets, debt, management, products, and competition.
Fundamental analysis takes into consideration only those variables that are directly related to the company itself, rather than the overall state of the market or technical analysis data.
- Efficient Market Hypothesis (EMH), Implication in DSE
- Individual investment goal, expectations, risk and return and market opportunities
- Overview of the capital market, types of market and market participants in DSE
- Overview of the industries / sectors in the DSE
- Introduction to Fundamental Analysis, identifying relevant data and information sources
- Interpretations of data and information (EPS, NAV, P/E, Growth etc.)
- Share valuation techniques (valuing shares based on P/E ratio)
- Trading plan and execution, stop loss and take profit limits etc.
- Introduction of the Filanta Market Today Fundamental Analysis Software
- Lecture and discussion on Basic Fundamental Analysis
- Trading experience sharing
- Practical valuation (hands-on) exercise using market data
Expected outcome of the course:
After Completion of this course the participants will be able to:
- Understand the basic concepts of Fundamental Analysis
- Understand the concept of risk and return and their implications
- Identify major sources of fundamental data and information – financial statements, reviews, websites etc.
- Interpret fundamental data and use the basic tools of financial analysis to analyze performance of a company
- Determine fair market value of a share
- Understand market timing for investment
- Develop a trading plan based on share valuation and market timing