Postgraduate Diploma in Finance

Purpose

The Postgraduate Diploma in Finance will offer an alternative route for more practical-minded, and application-driven learners to strengthen and deepen their knowledge in the field of finance. While the qualification will have a practical emphasis, the course will demand a high level of theoretical engagement and intellectual rigour. Ultimately, the Postgraduate Diploma will provide learners with essential skills necessary for security analysis, debt and equity analysis, investment strategies, securities markets, and portfolio management without the need to complete a supervised research project.

The practitioner space within the field of finance is data-intensive and requires technical skills. This environment encompasses the financial market, which ranges from trading, security analysis, mergers, and acquisitions to portfolio management. Learners will be required to develop creative responses within this dynamic field. Consequently, learners will be required to demonstrate knowledge of the essential theoretical foundations and an understanding of how to apply such knowledge in the field of investment and corporate finance.

This qualification emphasises the latest practical and practitioner applications in the fields of investment and corporate finance. This differs from the existing qualifications, which are aimed at developing theoretical rigour through a substantial research component. A substantial portion of the existing curricula is derived from leading international and local academic journals that cover seminal and most recent developments in the field.

Furthermore, learners must demonstrate an understanding of the complexities and uncertainties involved in applying established financial models to real-world situations as well as processes or techniques to unfamiliar problems arising in the financial markets. Learners will need to critically review information gathering, and synthesis of data to evaluate a complicated environment.

Likewise, problem-solving is a central aspect in which a learner can demonstrate the ability to use a range of specialised skills and methods to identify, analyse and address complex or abstract problems drawing systematically on the body of knowledge and methods appropriate to investment and corporate finance.

Upon completion of the qualification, the qualifying learner will be able to

• Engage with central theories underpinning the broad disciplines of investment and corporate finance.
• Evaluate a comparative range of methods and frameworks to be applied to security valuation, portfolio management, data analysis and corporate finance.
• Access, apply and manage data to help navigate abstract problems in complex environments.
• Apply appropriate conceptual and analytical frameworks relating to data analysis and financial modelling within portfolio management.
• Demonstrate knowledge of the advantages and pitfalls of applying financial and statistical models to complex and uncertain macroeconomic environments.

Rationale

The tertiary sector of the South African economy contributes approximately 70% of GDP. The finance sector is the dominant sector within the tertiary sector, the financial sector requires graduates with specialised technical and analytical skills. These skills are particularly relevant to practical applications in the financial sector.

This qualification aims to provide South Africa with graduates who are not only competent in the field of finance with the capacity to understand and function effectively in the economy but can contribute to the economy of the country by applying knowledge in the field of investment and corporate finance.

Prospective learners will be provided with a qualification that is less theoretical, and research-orientated compared to the existing postgraduate finance degrees, such as the honours degree. While the emphasis will be on practical applications, learners will be provided with an essential theoretical grounding.

Learners will gain an understanding of the theories, methods and techniques relating to investment and corporate finance. Candidates will be equipped with the ability to interrogate multiple sources of knowledge emanating from academic and practitioner sources. Furthermore, candidates will be tasked with reviewing information and synthesis of data and applying a range of specialised skills to identify, analyse and address complex or abstract problems.

This qualification will equip learners to enter the job market once they have completed this course. Specifically, this qualification will prepare learners for roles that include:

• Investment banking
• Stockbroking
• Portfolio Management
• Investment Research
• Project Finance
• Equity & Bond Valuation
• Pension Fund Consulting
• Merger & Acquisition Transactions
• International Finance.

Recognition of Prior Learning (RPL)

The institution has an approved Recognition of Prior Learning (RPL) policy applicable to equivalent qualifications for admission into the qualification. RPL will be applied to accommodate applicants who qualify. RPL thus provides alternative access and admission to qualifications, as well as advancement within qualifications. The following RPL processes may be applied.

RPL for access

• Learners who do not meet the minimum entrance requirements or the required qualification that is at the same NQF level as the qualification required for admission may be considered for admission through RPL.
• To be considered for admission in the qualification based on RPL, applicants should provide evidence in the form of a portfolio that demonstrates that they have acquired the relevant knowledge, skills, and competencies through formal, non-formal and/or informal learning to cope with the qualification expectations.

RPL for exemption of modules

• Learners may apply for RPL to be exempted from modules that form part of the qualification. For a learner to be exempted from a module, the learner needs to provide sufficient evidence in the form of a portfolio that demonstrates that competency was achieved for the learning outcomes that are equivalent to the learning outcomes of the module.

RPL for credit

• Learners may also apply for RPL for credit for or towards the qualification, in which they must provide evidence in the form of a portfolio that demonstrates prior learning through formal, non-formal and/or informal learning to obtain credits towards the qualification.
• Credit shall be appropriate to the context in which it is awarded and accepted.

Entry Requirements

The minimum entry requirement for this qualification is

• Advanced Diploma in Public Finance, NQF Level 7.

Or

• Advanced Diploma in Business Management, NQF Level 7.

Or

• Bachelor of Commerce in Finance, NQF Level 7.

This qualification consists of the following compulsory and elective modules at National Qualifications Framework Level 8 totalling 120 Credits.

Compulsory Modules at NQF Level 8, totalling 90 Credits.

• Principles of Corporate Finance, 15 Credits.
• Principles of Investment, 15 Credits.
• Financial Modelling, 15 credits.
• Introduction to Statistics with applications in R, 15 Credits.
• Portfolio Management, 15 credits.
• International Finance, 15 credits.

Elective Modules at NQF Level 8, totalling 30 Credits (Select two)

• Applications of Derivatives, 15 credits.
• Data Analysis, Back-testing, and Optimisation, 15 credits.
• Fintech and Big Data Analysis, 15 credits.

1. Engage with central theories underpinning the broad disciplines of investment and corporate finance.
2. Evaluate the comparative range of methods and frameworks to be applied to security valuation, portfolio management, data analysis and corporate finance.
3. Access, apply and manage data to help navigate abstract problems in complex environments.
4. Apply appropriate conceptual and analytical frameworks relating to data analysis and financial modelling within portfolio management.
5. Demonstrate knowledge of the advantages and pitfalls of applying financial and statistical models to complex and uncertain macroeconomic environments.
6. Develop valuation models by applying appropriate procedures for analysing listed and unlisted companies.
7. Gather and synthesise different financial data in the service of assessing an investment or corporate finance transaction thesis.
8. Identify and address ethical issues using corporate governance and Environmental, Social & Governance (ESG) frameworks and critically reflect on the suitability of these frameworks within an investment context.

Associated Assessment Criteria for Exit Level Outcomes 1.

• Compare and contrast the central tenets of investment and corporate finance theories.
• Critique the relevant central investment and corporate finance theories in terms of their real-world application.
• Assess the appropriateness or limitations of the applicability of investment and corporate finance theories to related areas within the field of business and economics.

Associated Assessment Criteria for Exit Level Outcomes 2.

• Apply different methodologies and frameworks to apply to security valuation and portfolio management.
• Assess the applicability of different methodologies and frameworks to apply to data analysis and corporate finance.

Associated Assessment Criteria for Exit Level Outcomes 3.

• Collect, analyse, and interpret information and evaluate different data sources, different proxy candidates and overall data quality.
• Identify and critique different variables that will be used as inputs into a financial or statistical model.
• Apply knowledge and understanding to assess different data collection methodologies.

Associated Assessment Criteria for Exit Level Outcomes 4.

• Display accuracy in the implementation of various financial models and calculate optimal portfolio weights based on a particular investment objective.
• Critique returns and risk assumptions of the financial model.
• Assess the applicability of the model to individual or institutional investor needs.

Associated Assessment Criteria for Exit Level Outcomes 5.

• Provide clarity in enunciating the links and interconnections between models, theory, and real-world experience.
• Assess the applicability of different statistical models and critique the strengths and pitfalls of various statistical models.
• Identify and apply the most appropriate financial and statistical model to the problem at hand.

Associated Assessment Criteria for Exit Level Outcomes 6.

• Display accuracy in the implementation of several capital budgeting models to calculate a range of firm or project values.
• Identify an appropriate range of risk profiles applicable to the project or firm.
• Assess the appropriateness of growth assumptions to be implemented in the valuation model.
• Assess the competition dynamics within the firm's industry and determine how that will influence the applied discount rate and overall firm valuation.

Associated Assessment Criteria for Exit Level Outcomes 7.

• Collect, analyse, and interpret information, critique different variables, and assess different data collection methodologies.
• Assess the relative importance of the chosen data variables and their impact on an investment or trade thesis.
• Identify the financial model or statistical techniques to which the chosen variables are most suited.

Associated Assessment Criteria for Exit Level Outcomes 8.

• Compare, contrast and critique appropriate governance mechanisms designed to address ESG issues.
• Assess the relative importance of environmental, social and governance issues.
• Evaluate the impact and trade-offs associated with the pursuit of ESG goals and issues on the organisation's business practice.

INTEGRATED ASSESSMENT

All fully online courses will be assessed by means of continuous assessment through a range of assessment types. This provides learners with multiple opportunities to gauge their progress and reflect on the course content. No individual formative or summative assessment will contribute more than 50% to a learner's overall mark.

Each module will include frequent and ongoing assessment systems, to provide continuous feedback to the learners and thereby encourage continuous learning. Such feedback will be given to the learners within a reasonable time after the assessment. The details of which will be specified in the course outline. Continuous formative assessments will provide a clear opportunity for learners to assess their progress and will also afford them developmental feedback.

Formative Assessment

Formative assessment applies to all the modules in the form of continuous assessment used throughout the module with a final assessment in week seven that takes the form of a summative assessment.

Consequently, learners will be assessed by means of formative

• Tests
• Assignments in the first 3-weeks with a final summative exam in week seven. Each module will consist of three tests (or assignments), each carrying a 20% weight.

Summative Assessment

The final assessment exam will carry a weight of 40%.