An Introduction to Investment Banks, Hedge Funds, and Private Equity

by David P. Stowell

Overview

The dynamic environment of investment banks, hedge funds, and private equity firms comes to life in David Stowell’s introduction to the ways they challenge and sustain each other. Capturing their reshaped business plans in the wake of the 2007-2009 global meltdown, his book reveals their key functions, compensation systems, unique roles in wealth creation and risk management, and epic battles for investor funds and corporate influence. Its combination of perspectives—drawn from his industry and academic backgrounds—delivers insights that illuminate the post-2009 reinvention and acclimation processes. Through a broad view of the ways these financial institutions affect corporations, governments, and individuals, Professor Stowell shows us how and why they will continue to project their power and influence.

• Emphasizes the needs for capital, sources of capital, and the process of getting capital to those who need it
• Integrates into the chapters 10 cases about recent transactions, along with case notes and questions
• Accompanies cases with spreadsheets for readers to create their own analytical frameworks and consider choices and opportunities

Product Details

ISBN-13:	9780080922898
Publisher:	Elsevier Science
Publication date:	03/19/2010
Sold by:	Barnes & Noble
Format:	eBook
Pages:	592
File size:	19 MB
Note:	This product may take a few minutes to download.

About the Author

David P. Stowell is a professor of finance at Northwestern University’s Kellogg School of Management, where he teaches classes that focus on investment banking, hedge funds, private equity and venture capital. He also teaches undergraduate courses on these topics at Northwestern University. Prior to joining Northwestern in 2005, he was managing director at JP Morgan, working in Chicago with responsibility for part of the firm's mid-west investment banking business. In addition, he worked in investment banking at UBS as managing director and co-head of U.S. equity capital markets, and at Goldman Sachs, where he co-managed an equity derivatives business and worked in corporate finance in New York and Tokyo. He was also a managing director at O'Connor Partners, a hedge fund based in Chicago. He graduated from Utah State University with a BA in Economics and from Columbia University's Graduate School of Business with an MBA in Finance. In addition to his current teaching responsibilities, he manages Paradigm Partners, a boutique firm that provides M&A and capital raising services and general advice regarding investment banking, hedge fund, and private equity activities to selected clients.

Table of Contents

Section One: Investment Banking

1 – Overview of Investment Banking

2 – Regulation of the Securities Industry

3 – Financings

4 – Mergers&Acquisitions

5 – Trading

6 – Asset Management, Wealth Management and Research

7 – Credit Rating Agencies, Exchanges and Clearing and Settlement

8 – International Banking

9 – Convertible Securities and Wall Street Innovation

10 – Investment Banking Career Opportunities and Trends

Section Two: Hedge Funds and Private Equity

11 – Overview of Hedge Funds

12 – Hedge Fund Investment Strategies

13 – Shareholder Activism and Impact on Corporations

14 – Risk, Regulation and Organizational Structure

15 – Hedge Fund Issues and Performance

16 – Overview of Private Equity

17 – LBO Financial Model

18 – Private Equity Impact on Corporations

19 – Organization, Compensation, Regulation and Limited Partners

20 – Issues and Opportunities

Section Three: Case Studies

1. Investment Banking in 2008 (A): Rise and Fall of the Bear
2. Investment Banking in 2008 (B): A Brave New World
3. Freeport-McMoRan: Financing an Acquisition
4. The Best Deal Gillette Could Get? Procter&Gamble’s Acquisition of Gillette
5. A Tale of Two Hedge Funds: Magnetar, Peloton, CDOs, and the 2008 Financial Crisis
6. Kmart, Sears, and ESL: How a Hedge Fund Became One of the World’s Largest Retailers
7. McDonald’s, Wendy’s, and Hedge Funds: Hamburger Hedging? Hedge Fund Activism and Impact on Corporate Governance
8. Porsche, Volkswagen and CSX: Cars, Trains and Derivatives
9. The Toys "R" Us LBO
10. Cerberus and the U.S. Auto Industry

What People are Saying About This

From the Publisher

Illuminates the post-2009 reinvention and acclimation processes

Editorial Reviews

Books on investment banking are few and far between and mostly out of date. Usually they are very academic or written by lawyers rather than by someone who understands the business. This one, written by a former practitioner, gives students of investment banking just the insights they need into the nexus of investment banking, private equity and hedge funds.” —Brian Scott-Quinn, Chair in Investment Banking, ICMA Centre, Henley Business School, University of Reading “Investment banking is in permanent change. This new book on investment banking describes the most recent trends that have taken place in the industry, in particular the interaction between investment banking and the hedge funds and private equity businesses. This is an exhaustive and up-to-date guide to the major banking activities. The different themes covered in the book are illustrated by fascinating real life cases. The book by David Stowell will become the new reference on investment banking.” —Pierre Hillion, INSEAD “A clearly written account of several popular segments of the global financial services industry. Students who wish to enhance their understanding of the banking system would benefit from reading this book.” —Sanjay Gupta, Swiss Finance Academy

From the Publisher