Browse CFA Level 1 Essentials

Chapter 5: Corporate Issuers

In this section

  • Organizational Forms, Corporate Issuer Features, and Ownership
    Explore key organizational forms, their features, and how ownership structures and corporate governance shape business operations and investor interests.
  • Investors and Other Stakeholders
    Investors and Other Stakeholders examines the diverse groups with vested interests in corporate issuers, exploring their motivations, claims, conflicts, and alignment methods. This chapter highlights ESG considerations and illustrates how strong stakeholder relationships can boost firm value.
  • Corporate Governance: Conflicts, Mechanisms, Risks, and Benefits
    Explore the principal-agent relationship, common conflicts, and the organizational mechanisms that guide effective corporate governance.
  • Working Capital and Liquidity
    Explore the fundamentals of working capital, liquidity management, and the cash conversion cycle, with practical strategies for short-term financing and day-to-day operations.
  • Capital Investments and Capital Allocation
    Learn key principles of corporate finance, including NPV, IRR, real options, and strategic alignment through real-world examples, practical insights, and best practices to guide capital allocation decisions.
  • Capital Structure
    Explore the core principles of capital structure, including WACC, Modigliani–Miller propositions, trade-off theory, signaling insights, and key considerations for optimal debt-equity mixes.
  • Business Models
    Explore how companies create, deliver, and capture value by examining various business model types, their key features, sustainability, and the link to financial performance.
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