Financial Model Errors

The following video is borrowed from our BusinessTraining.com platform and was originally recorded for our financial modeling training program.   In the following video, you will see some common financial model errors and learn how to avoid them.


Video Transcript/SummaryThe strategies and tips provided within this video module include:

  1. One of the most common types of error is related to data entry, even for those who are being very careful. Therefore, embedding formulas within the excel model is important, rather than relying on manual calculations.
  2. Ensure to watch out for errors in parenthesis and always check to see the value calculated appears reasonable. If you can, check your formula against simple math. Some of excels financial formulas are also a little tricky so if you don’t know exactly what you are doing, use the excel help function.
  3. Break long formulas into simple steps and add or multiply those formula segments. in these formulas, double-check that your formula refers to the right cells. Finally, know which formula to use and what parameters to specify (i.e. NPV or XNPV, SUM or SUMPRODUCT or SUMIF etc.)
  4. By selecting a cell and clicking F2, it highlights the cell references in your formula in different, easy to see colours. This is particularly useful when working on a new version of a model where changes have been made (i.e. adding or deleting rows and columns). be very patient with these changes.
  5. Excel allows you to name and define ranges, which can really help make formulas easy to develop. The main gains from adopting this is the efficiency, transparency and simplicity of the resulting excel model. To name a cell, simply click on it and type the name you want above.
  6. When in doubt, use the excel help feature. Type your query in the top right of your excel window. If you cant find the answer you are looking for, simply type the query into Google where an answer should be provided.

Be sure to avoid these financial model errors in order to construct better, more accurate financial models.

Your friends here at https://investmentcertifications.com

Financial Modeling Tutorial

The following video is borrowed from our BusinessTraining.com platform and was originally recorded for our financial modeling training program.  In the following video, you will watch a useful tutorial of financial modeling.

Video Transcript/SummaryThe strategies and tips provided within this video module include:

  1. Coming soon. 

I hope that this video has provided you with a useful financial modeling tutorial.  

Your friends here at https://investmentcertifications.com

Justin Smith Interview

Below is an expert audio interview that our team conducted with financial analyst expert, Justin Smith, listen to this interview if you want to learn more about working as a financial analyst.

Justin Smith: Justin is a senior financial analyst with over 10 years of experience at a Fortune 500 company.  In the following video, Justin shares his experience working as a senior financial analyst.  (Download this Expert Audio Interview in MP3 Format)

Audio Summary/Transcript:  Coming soon…

Your friends here at https://investmentcertifications.com

Financial Analysis Training

In the following video, I explain the downside of traditional university financial analysis education versus online professional financial analysis training.  I have spent many years studying at traditional colleges and universities while obtaining my undergraduate business degree and my MBA, but I really think that these schools underserve their students and do not provide them with the type of training that is valuable in the real world: practical training by finance professionals with years of experience in financial analysis.

I know that personally I learned most of the skills necessary for working in finance and the hedge fund industry through professional training, not college lectures.  If you are considering finance training you should definitely watch this video.

Video Transcript/SummaryThe strategies and tips provided within this video module include:

  1. Students at traditional colleges and universities–even top-rated ones–are often underserved in terms of preparation for an actual career in finance.  
  2. The internet provides you with opportunities to obtain financial analysis training quickly and inexpensively.  Compared to four-year institutions, this is a great alternative that will get you trained in a specific profession rather than a general business degree with no job focus.
  3. Even after you obtain your college degree the value will eventually decline as business evolves and the need for updated and ongoing professional training increases.  
  4. You also start to forget things after you graduate, fortunately there are programs that provide you with archived lectures and video and audio content that will make sure you always have access to financial analysis training.  
  5. Online universities and training providers have an advantage in that they don’t have to pay for a large university, tenured professors and other costs.  This allows online universities and training providers to take that money really invest it in providing you with the most possible value. 

The point of this video is not to denigrate the work that professors and traditional educators do; I’ve learned a ton from these people and they serve a valuable function in our educational system.  I just want to show that while these universities may provide you with a degree, they hardly ever give you real, practical training in specific career paths like financial analysis and other very specific niches.  

As I have explained in the video, there are many advantages to obtaining financial analysis training through online education providers.  I hope you consider this when you decide whether to spend another $50,000+ on another degree.  

Your friends here at https://investmentcertifications.com