Page 1 FINS2618 Capital Markets and Institutions 2023
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Weighting:
25% (written report & video presentation) + 5% (individual presentation)
Due date:
Week 7 Allocated Tutorial Session (individual presentation)
Week 10 Friday 6pm (written report & video presentation)
The goal of this Major Assignment is to demonstrate all the key knowledge and skills gained in
this course through the lectures, tutorials and iLab classes (FactSet database).
Your investment team needs to do a stock pitch to various investment
managers on an Australian listed company. It is expected that your team
prepare a written document and a recorded presentation of your stock
analysis.
ASX
Select a company that is listed on the Australian Stock Exchange (ASX) and ranks as one of the top 100
companies by market capitalisation.
Part A: Introduction to The Company (2 marks each = total 10 marks)
1. Explain the current capital structure of your company.
• You may consider the different types and amounts of debt, hybrid and equity instruments
that this company has issued, its characteristics and other important details.
2. Explain the current asset and current liability structure of your company.
• You may consider different ratios, a comparison with historical values and other
important details.
3. Explain the major revenue and expense sources of your company.
• You may consider the different geographical segments that your company derives
revenue and expenses from.
FINS2618 Capital Markets and Institutions
Major Assignment
Page 2 FINS2618Capital Markets and Institutions 2023
4. Identify the major stakeholders and top 10 shareholders of your company.
• You may consider different parties that are impacted by the operations of this company.
5. Determine the current market valuation of your company.
• You may consider the price-to-earnings (PE) ratio from the prior three years as well as a
three year forecast.
Part B: Risk Assessment (minimum 3 risks – 10 marks)
6. Based on the information that you have acquired from Factset and other sources, assess the
potential risk factors outlined below for your company:
• Interest rate risk
• Foreign exchange rate risk
• Liquidity risk
• Funding risk
• Sovereign risk
Part C: Event Study Analysis (10 marks – 2, 4, 4)
7. Annotate a chart with the last twelve months’ share price of your company.
• You may consider the key events which explain movements in the share price, macro-
economic factors, company-specific events, benchmarking against a relevant market
index and other important details.
8. Conduct an event study of your company around at least two of the following announcements
that occurred in the past twelve months:
• A macro-economic event (macro analysis)
• Relevant news event that had an impact on your company (industry or competitor
analysis)
• Company-specific event (micro analysis)
Comment on the findings of your event studies around the announcements.
9. Based on your analysis in Parts A, B and C, propose whether your company’s stock in twelve
months’ time will be higher, lower or similar to the current market price. Justify your reasons.
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GROUP FORMATION:
The Major Assignment has two components – an individual presentation (due in Week 7) and a final
written report and video recording (due in Week 10).
Students are free to form their own groups within the same tutorial with the condition that each group
should have 3-4 members. Your tutor should already have a record of the members in each group as
well as your group number/name.
Since the goal of the Major Assignment is to provide an opportunity to gain team working skills in a safe
environment, no individual submissions are allowed.
All members of the group will be initially awarded the same mark for the written report + video
recording as they are expected to equally contribute to the final submission of the group.
GROUP DYNAMICS AND INDIVIDUAL RESPONSIBILITIES:
Groupwork is one of the core Program Learning Outcomes at UNSW. Learning how to work in a new
team is an essential skill in the workforce too.
As a group, you will be responsible for negotiating roles, managing your workloads and progress
amongst the group. The group should collectively set out the expectations for each member’s workload
clearly and to reduce any “free-rider” problems.
Individuals in groups should also work actively to overcome barriers that arise. However, any substantial
problems in your group should be raised with your tutor as soon as possible.
Records of all communications, meeting attendances, task allocations, documents, work-in-progress,
submission schedules etc should be kept by each group member.
Each group should set internal deadlines well before the Oral Presentation (in Week 7) and the written
report and video recording (in Week 10) to ensure that there is sufficient time to compile, edit and
communicate with each other before the deadline.
If a group believes that there is an evident and substantial disparity in contribution by any member,
these groups may be able to engage in a peer assessment and moderation of grades for each individual
in the group, at the discretion of the LIC. Peer reviews are undertaken on a case-by-case basis and
require substantive evidence of both disparity in contribution and efforts to ameliorate any difficulties.
The Teaching Team will not resolve any group issues if there is no evidence that the group has tried to
resolve these conflicts or barriers amongst themselves.
There is a universal expectation that each student will make every effort to communicate clearly,
contribute fairly and treat one another with the utmost respect.
Page 4 FINS2618Capital Markets and Institutions 2023
INDIVIDUAL PRESENTATION (5%):
Each group must present live during their timetabled tutorial class in Week 7 of the term. All members
of the group will be required to participate for an individual grade. The total time allocated for each
group is 5 minutes.
For this presentation, the group needs to create a simple single slide deck in PowerPoint with a
maximum number of 1 slide per group + an introductory slide with the names and zIDs of the group
members as well as the company analysed. No references/sources need to be included in this slide deck.
During the Oral Presentation, you will need to detail the company your group has chosen, any
preliminary findings, areas of responsibility, the group’s plan and work schedule for the time remaining
until the submission date, how you will personally contribute to the final result of the Written Report.
After the presentation, one member from each group needs to submit the PowerPoint slides
electronically via the submission link on Moodle by the end of Week 7 (Friday 6 pm at the latest). These
slides will not be explicitly graded separately but is a record of your group's completion and where the
individual marks for the Oral Presentation will be given as feedback to all students in Week 8. If there is
no submission received, then no marks can be recorded for you and your group members.
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WRITTEN REPORT + VIDEO PRESENTATION (25%):
There are two components for the final submission: a written report and a video presentation.
a) WRITTEN REPORT
The written report should be a maximum of 5 pages.
The main body text needs to be 1.5 line spacing and in size 12 Arial or Calibri Font. The text in the title
page, executive summary, table of contents, tables, graphs, charts and diagrams are excluded from this
requirement. However, these still need to be professionally presented in the Written Report.
Marks will be reduced by 10% for each page you exceed the page limit. Hence, your mark will be reduced
to zero if the report exceeds 15 pages. You will be penalised for inappropriate formatting.
The page limit includes: executive summary, the report body and tables/graphs/charts/diagrams.
The page limit excludes: title page, table of contents, reference list and appendices.
Appendices should be used sparingly and only used to provide information to the reader, where
appropriate.
Please number the pages of your report.
Ensure you use proper academic referencing in supporting the ideas and discussion within your report.
All reports must include a list of references in academic form using the Harvard method. You will be
penalised if you forget to reference your sources or use inappropriate referencing. More information on
the Harvard referencing style can be found here:
https://www.student.unsw.edu.au/harvard-referencing
Pay particular attention to presentation. A component of your mark will be based on presentation and
style. Avoid overdoing formatting and ensure that the report is very clear, logical and professional. Use
headings in the Written Report to separate key ideas. Using paragraphs will also assist with structuring
ideas.
Pay attention to grammar. Academic writing style refrains from writing in the first person. Clear and
logical presentation is a major challenge in report preparation. Brevity and conciseness are key
ingredients of a highly successful report. Every part of the Written Report should somehow add to the
end result; otherwise, it is superfluous and distracting. Please proofread the Written Report before the
final submission.
One member from each group needs to submit the final Written Report as a .pdf document via the
TurnItIn link on Moodle by Friday of Week 10 at 6 pm.
Page 6 FINS2618Capital Markets and Institutions 2023
b) VIDEO PRESENTATION
The video presentation should be 8-10 minutes in duration. Markers will stop watching any content
after 10 minutes. All members of the group will need to participate and have their cameras on when
presenting. An introductory slide needs to be included with the names and zIDs of the group members
and company analysed. The video presentation (video file) should also be submitted by Friday of Week
10 at 6pm.
Page 7 FINS2618Capital Markets and Institutions 2023
MARKING GUIDE:
Part A /10 marks
Part B /10 marks
Part C /10 marks
Presentation and style of written report /5 marks
Video presentation /5 marks
TOTAL MARKS /40 marks
Penalties
Inappropriate sources or use of academic literature up to -5 marks
Incorrect referencing (Harvard style) up to -5 marks
Failure to comply with formatting requirements up to -5 marks
Poorly presented report and/or tables/graphs/charts/diagrams up to -5 marks
Incorrect selection of company -20 marks
Each page over the 5 page limit -4 marks per page
Each minute over the 10 minute limit -4 marks per minute