Introduction

Understanding equities and capital markets is essential for anyone looking to build a strong foundation in finance and investment. Equities represent ownership in a company, and learning how they are valued, traded, and analyzed provides crucial insights for making informed financial decisions. This training course introduces beginners to the fundamentals of equity markets, covering valuation metrics, market dynamics, financial statement analysis, and the basics of investment research. Participants will also explore concepts such as returns, equity risk premiums, and behavioral finance, equipping them with the knowledge needed to navigate capital markets effectively. The course emphasizes practical applications by combining theory with real-world examples, case studies, and hands-on exercises. Participants will learn how to evaluate companies and industries, interpret market signals, avoid common errors, and prepare basic equity research reports. By the end of this program, attendees will be able to apply equity valuation models, analyze financial data, and understand how capital markets function, preparing them for further study or careers in finance and investment.

Duration:

10 Days

Target Audience

• Beginner investors
• Finance and business students
• Junior financial analysts
• Banking and investment trainees
• Risk and compliance assistants
• Professionals entering capital markets roles
• Accountants seeking market exposure
• Insurance and pension fund officers
• Public sector financial staff
• Entrepreneurs exploring capital raising
• Consultants in finance-related fields

Objectives

• Understand the fundamentals of equity markets
• Learn how equity orders and trades are executed
• Apply valuation models including DDM, asset-liability, and multistage models
• Interpret financial statements for equity analysis
• Analyze market depth and liquidity factors
• Conduct scenario analysis for decision-making
• Recognize common errors and behavioral biases in equity investing
• Develop basic equity research reports
• Understand the concept of returns and equity risk premium
• Perform company and industry analysis for investment insights
• Strengthen financial decision-making with real-world applications
• Build a foundation for advanced capital markets learning

Course Modules

Module 1: Introduction to Equities and Capital Markets

• Basics of equity markets
• Role of capital markets in the economy
• Key participants in equity trading
• Primary vs secondary markets
• Importance for investors and companies

Module 2: Equity Orders and Trading Mechanics

• Types of equity orders
• Market vs limit orders
• Order execution processes
• Bid-ask spreads and liquidity
• Trading platforms and systems

Module 3: Valuation Fundamentals and Metrics

• Price-to-earnings ratio
• Price-to-book ratio
• Dividend yield analysis
• Enterprise value metrics
• Applying valuation benchmarks

Module 4: Dividend Discount Models (DDM)

• Basics of dividend valuation
• Single-stage model
• Multistage growth models
• Estimating discount rates
• Application examples

Module 5: Asset-Liability and Multistage Models

• Understanding asset-liability models
• Linking assets and liabilities in valuation
• Multistage cash flow forecasts
• Strengths and limitations of models
• Practical applications

Module 6: Financial Statement Analysis

• Income statement fundamentals
• Balance sheet interpretation
• Cash flow analysis
• Key financial ratios
• Linking statements to equity value

Module 7: Market Depth and Liquidity

• Understanding market depth
• Order book structures
• Liquidity measurement techniques
• Impact on trading strategies
• Case study applications

Module 8: Scenario Analysis in Equities

• Building scenario models
• Stress testing equity investments
• Impact of economic cycles
• Market shocks and resilience
• Practical exercises in scenario planning

Module 9: Behavioral Finance and Common Errors

• Investor biases in equity trading
• Overconfidence and herd behavior
• Misinterpretation of market signals
• Common analytical mistakes
• Avoiding behavioral pitfalls

Module 10: Equity Research Reports

• Structure of equity research reports
• Key elements of analysis
• Industry benchmarks and peer comparisons
• Forecasting and recommendations
• Presenting findings to stakeholders

Module 11: Returns Concepts

• Types of investment returns
• Total return calculations
• Real vs nominal returns
• Time value of money applications
• Measuring performance effectively

Module 12: Equity Risk Premium

• Definition and importance
• Factors influencing risk premium
• Historical vs expected premiums
• Application in valuation models
• Case studies of equity premium

Module 13: Company Analysis Techniques

• Assessing business models
• Evaluating competitive advantage
• Analyzing corporate governance
• Financial strength assessment
• Practical company evaluation exercises

Module 14: Industry Analysis Methods

• Understanding industry structures
• Porter’s five forces in practice
• Identifying growth opportunities
• Industry benchmarking approaches
• Sectoral case studies

Module 15: Integrated Equity Analysis and Application

• Bringing together valuation, financials, and scenarios
• Building a simple equity model
• Final review and wrap-up

Training Approach

This course will be delivered by our skilled trainers who have vast knowledge and experience as expert professionals in the fields. The course is taught in English and through a mix of theory, practical activities, group discussion and case studies. Course manuals and additional training materials will be provided to the participants upon completion of the training.

Tailor-Made Course

This course can also be tailor-made to meet organization requirement. For further inquiries, please contact us on: Email: info@skillsforafrica.org, training@skillsforafrica.org  Tel: +254 702 249 449

Training Venue

The training will be held at our Skills for Africa Training Institute Training Centre. We also offer training for a group at requested location all over the world. The course fee covers the course tuition, training materials, two break refreshments, and buffet lunch.

Visa application, travel expenses, airport transfers, dinners, accommodation, insurance, and other personal expenses are catered by the participant

Certification

Participants will be issued with Skills for Africa Training Institute certificate upon completion of this course.

Airport Pickup and Accommodation

Airport pickup and accommodation is arranged upon request. For booking contact our Training Coordinator through Email: info@skillsforafrica.org, training@skillsforafrica.org  Tel: +254 702 249 449

Terms of Payment: Unless otherwise agreed between the two parties’ payment of the course fee should be done 10 working days before commencement of the training.