CFA Association Russia held a workshop on financial modeling of investment projects. During this brief course, which took place in the RUSNANO office, specialists in the investment field learned how to create simple, clear, and error-free financial models.

At the beginning of this overview Dmitri Ryabykh (CFA and general director of Alt-Invest) highlighted the main features of project modeling: the general requirements for a financial model, the overall structure of a model, the building blocks for a financial model and the order in which they should be placed, specific aspects of building a model depending on the type of project, financial reporting in modeling an investment project, performance indicators, and bank indicators.

The workshop examined recommended charts: return on investments, cost structure, outstanding debt for credit, sales volume, and EBITDA. Dmitri also spoke about unnecessary indicators for liquidity, turnover, and profitability which should be avoided.

Following the introductory talk, practical training was held on technical methods, including:

It is worth noting that this workshop was organized as a condensed version of an intensive two-day course on building financial models which the CFA Association Russia has held over the past several years.