The Handbook of Financial Modeling: A Practical Approach to Creating and Implementing Valuation Projection Models

Introduction

This book is written from the perspective of a financial modeler and so gives some insight into the thinking and approach that modelers will find themselves in. This is quite deliberate, because I believe that what is missing from many financial modeling sources is the insight into what it’s really like to be a modeler.

There are varying opinions about how a financial model should look. One reason is because modeling is a relatively recent practice. The majority of modeling is also Excel-based, which means it has a built-in, flexible approach. Anyone who uses Excel will tell you there are usually several different ways of achieving the same result.

Another reason why so many approaches exist is that there is a series of modeling ...