Syllabus of F9 Financial Management (FM)
The objective of the syllabus is to improve the knowledge and skills required of a financial manager with regard to policy decisions on investment, financing and dividends.
The Financial Management syllabus is designed to provide candidates with the skills that a finance manager responsible for the finance function of an organization would expect. It prepares candidates for more advanced and advanced Advanced Financial Management studies.
Therefore the syllabus begins by introducing the role and intent of the function of financial management within a company. The syllabus discusses the economic environment in which such decisions are taken, before examining the three main financial management decisions on investment, finance and dividend policy.
Introducing investment decisions is the next section of the syllabus. This is achieved in two steps-investing in and managing) working capital and apraising long-term investments.
Next areas is mainly about the financing decisions. This part of the syllabus begins by discussing the different sources of business financing, including dividend policy, and how much funding can be raised from within the organization. It also looks at the cost of capital and other variables that affect the choice of the source of funding that will be raised by a company. First the principles underlying the valuation of company and financial assets, including the effect on the value of the business of the cost of capital, are addressed.
The syllabus ends with an introduction to and examination of, risk and the key strategies used in the management of such risk.
Main capabilities
- Discuss the role and intent of the function of financial management
- Consider and address the economic environment's effect on financial management
- Discuss and apply strategies for managing working capital
- Conduct an efficient investment appraisal
- Discuss and apply company and asset valuation principles
- Explain risk management strategies in business and apply them.
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