Fund Manager Programme At London Stock Exchange

Day 1

Morning
Introduction to Falcon IM /
Knightsbridge Trading Academy
(10min)
Introduction to Equities Strategies
(45 min)
- Equities investments
- Investment objective
- Active vs. passive Management
- Long/Short Strategy
- Macro environment (impact on
Equities, volatility, tail risks)
- Top-down and Bottom-up Approaches
- Short-term trading
Investment Objective (30min)
- Risk reward/ volatility
- Growth vs Value Stocks
- Hedging instruments
Fundamental Analysis (1h30)
- Key criteria
- P&L/ Balance Sheet/Cash Flow
- Revenue Growth/ Operating margins
- Total debt / Net debt
- Net Debt/EBITDA
- Free Cash Flow
- Capex/ dividends / share buyback
programmes

Afternoon
Fundamental Analysis (continued) (2h)
- Net income /EPS
- Price to Earnings ratio
- Industry characteristics and themes
- Qualitative criteria
- Accounting considerations
- Screening
Market Data (1h)
- Market cap
- Price chart
- Average daily volume
- Beta (vs Index)
- Short Interest as percentage of float

Day 2

Morning
Identify opportunities (1h)
Peers analysis
- Industry’s specific characteristics
- Examples in various sectors/industries:
oil & gas, healthcare, retail, airlines
- Profitability / Valuation / Competitive
advantage
Analysing risks
- SWOT analysis
- ADRs
Valuation (2h)
- Forecast / Analyst Estimates
- EV/EBITDA
- Price/EPS
- Price/Book
- Discounted Cash Flow valuation
method
• WACC
• Examples
• Drawbacks
- Technical Analysis/ Graph

Afternoon
Technical Analysis (1h30)
- Short-term trading
- Trend lines (support and resistance)
- Breakouts
- Moving Averages (20, 50, 200 SMA)
- Relative Strength Index (RSI)
- Fibonacci
- Stop loss – risk/reward
Investment paper (2h)
- Case study

Day 3

Morning
Short selection (1h30)
- Specific company events
- Over-valuation
- Stocks within industries laggards
- Short-term positions
- Examples
How to build an Equity Portfolio
(1h30)
- Risk management
- Diversification
- Correlation
- Leverage
- Liquidity
- Gross and Net exposures
- Stop-loss
- Stress test
- Performance (Sharpe ratio)
- Trading behaviour

Afternoon
ETFs (1h)
- Industry rotation
- Cyclical industries vs. staples industries
- Hedges
- Industry consolidation
Case study (1h)
Recap / Conclusion (30 min)
Test (1h)

Day 4

Morning
Introduction to Short Equity
Strategy (2h)
- Explanation about the strategy and the
logic behind it.
- Technical analysis
- Five Steps in Super Nova.
- Round numbers.
- Days and their meaning.

Afternoon
Trading Strategy- First Stage (2h)
- Longs in the initial phase of the
supernova
- Long templates (perking, abcd, U)
- Risk Management
- Realizations and adds (timing)
- Examples
Trading Strategy -Second Stage (2h)
- Shorts
- Short squeeze
- First Red Day
- Short patterns (parabolic short,
breaking momentum)
- Counting days T + 3
- Identification of stuff move
- Managing short transactions (goals,
taking profits)
- Risk definition
- Examples

Day 5

Morning
Research (2h)
- Explanation of the logic behind the
research method.
- Research:
• Identifying a potential stock
• Comprehensive research on the
stock, which includes:
- Reading quarterly and annual
reports.
- Reading news and identifying
whether they are true or false..
- Stock statistics.
- Checking against the company
background (employees, google
maps, SEC, company website).

Afternoon
Tools (2h55)
- Vwap
- Sympathy plays
- Level 2
- Time & sales
- Pre-market / post market - Significant
lines
- Research in the middle of a trading day
- TEST