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Banking Essentials - Part I

This pathway will walk us through the basics of banks, starting with some of the different types and their main functions, then starting to look at the regulation faced by the banks, both before and after the Global Financial Crisis.

Greenwashing

Greenwashing is the act of distributing false information about something being more environmentally friendly than it actually is.

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Tackling the Cost of Living Crisis

In this video, Max discusses the cost-of-living crisis currently enveloping the UK. He examines its impact on households as well as the overall economy.

CSR and Sustainability in Financial Services

In the first video of this two-part video series, Elisa introduces us to sustainability. She begins by looking at the difference between sustainability and corporate social responsibility, two terms that can be easily confused.

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Banking Essentials - Part I

This pathway will walk us through the basics of banks, starting with some of the different types and their main functions, then starting to look at the regulation faced by the banks, both before and after the Global Financial Crisis.

Greenwashing

Greenwashing is the act of distributing false information about something being more environmentally friendly than it actually is.

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Plans & Membership

Our Platform

Expert led content

+1,000 expert presented, on-demand video modules

Learning analytics

Keep track of learning progress with our comprehensive data

Interactive learning

Engage with our video hotspots and knowledge check-ins

Testing & certification

Gain CPD / CPE credits and professional certification

Managed learning

Build, scale and manage your organisation’s learning

Integrations

Connect Finance Unlocked to your current platform

Featured Content

More featured content

Tackling the Cost of Living Crisis

In this video, Max discusses the cost-of-living crisis currently enveloping the UK. He examines its impact on households as well as the overall economy.

CSR and Sustainability in Financial Services

In the first video of this two-part video series, Elisa introduces us to sustainability. She begins by looking at the difference between sustainability and corporate social responsibility, two terms that can be easily confused.

More featured content

Book a demo

Pricing

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Present Value (PV) Calculation (Multiple Cash Flows)

Present Value (PV) Calculation (Multiple Cash Flows)

Abdulla Javeri

30 years: Financial markets trader

This video expands on Abdulla's previous video, What is Time Value of Money?, by introducing multiple cash flows occurring over different periods of time.

This video expands on Abdulla's previous video, What is Time Value of Money?, by introducing multiple cash flows occurring over different periods of time.

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Present Value (PV) Calculation (Multiple Cash Flows)

3 mins 10 secs

Overview

Investors can use the cash discounting/compounding formula to compare two or more investment opportunities with cash flows occurring over the same time period.

Key learning objectives:

  • Learn how investors use the cash discounting formula to compare investments

  • Identify its limitations

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Summary

How can investors use the cash discounting formula to compare investments? What are its limitations?

Investors can use the classic cash discounting/compounding formula to analyse two or more investment opportunities with cash flows occurring over the same time period using a discount rate equivalent to their required rate of return. Investment opportunities offer various rates of return and various levels of risk. Any new opportunity has to be compared with the returns on another investment with equivalent risk. The PV is a function of the discount rate and the timing of cash flows. Different rates result in different PVs. Similarly for time periods. But PV cannot be used as a comparator for the relative desirability of different investments i.e. investment A is not necessarily superior to investment B simply because it has a higher PV.

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Abdulla Javeri

Abdulla Javeri

Abdulla’s career in the financial markets started in 1990 when he entered the trading floor of the London International Financial Futures Exchange, LIFFE, and qualified as a pit trader in equity and equity index options. In 1996, Abdulla became a trainer for regulatory qualifications and then for non-exam courses, primarily covering all major financial products.

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