Produced by the Knowledge Center, expert training from S&P Global Market Intelligence
Essentials of Regulatory Finance teaches the skills needed to apply the principles of corporate finance to regulated utilities. Combining intensive instruction on theory and application, supplemented by real life examples, ERF provides the equivalent of graduate level instruction under the guidance of one of the most highly respected academics in energy finance.
Classwork features problem sets that illustrate the nuances of finance issues in this complex sector under the current regulatory environment including cost of capital calculations, capital allocation frameworks and alternative capital structures.
What participants gain:
- A thorough understanding of the issues in regulated cost of capital calculations, return on equity, discounted cash flow models, and the cost of debt and credit ratings.
- Familiarity with the key metrics in risk analysis and financial statements and performance based ratemaking.
- The advantages, drawbacks and impact of capital-raising instruments common to utilities
- Knowledge of equity performance measures, including economic value added (EVA), dividend discount model (DDM), cash flow return on investment (ROI) and key financial risk ratios
- Exposure to the ways utilities utilize hedging and other risk management practices
- A grasp of the effects of regulation and rate cases on a company's financial decision-making frameworks and financial outlook
This program presumes an understanding of basic accounting and finance concepts, as well as familiarity with utility business models.