Learning Project Finance Modeling vs CFA L1
I've been trying to break into project finance and would like your guys' input. A lot of positions I've seen online (both in project finance and infra PE) say the CFA is a nice to have, so I signed up to take L1 this December (whether that actually happens is another story). However, as we all know, though the CFA is well-regarded, it's not aimed at every industry, and other than being a "nice to have" to check a box, I don't see how it would be all that useful in infra overall.
So I'm considering pushing L1 to February and learning project finance modeling. I don't necessarily feel confident enough that I would pass L1 in December, but by February would have plenty of time to review. For modeling, I have experience with real estate acquisitions modeling across a couple asset classes, but project finance/infra is a completely different beast with its own set of nuances, so I'm probably looking for a class that can teach some of the technical skills that I can then practice ahead of interviews. I don't know if I would necessarily put these on my resume (could look a bit tacky or make people think I don't have experience) like I could for the signaling effects of CFA L1, but it's definitely something I'd talk about when networking/interviewing.
Here are a couple I came across and wondered if any of you could recommend them, or have others that you'd recommend:
- Wall Street Prep's "The Ultimate Project Finance Modeling Package" ($499): I've seen this one recommended here once and on reddit
- DealMaker Financial Training's "Financial modeling | Project Finance & Infrastructure" ($94.99, on sale right now for $29.99): Udemy course that seems to be slightly less comprehensive
- Ed Bodmer's "A-Z Project Finance Modelling" ($?): To be honest I haven't looked into this as much. It follows the "FAST" modeling standard which I've heard conflicting things about.
- F1F9's "Project Finance Modelling" ($766): Definitely the priciest I've seen for an online course, a little below the in-person courses though. I think this also follows the "FAST" modeling standard.
- Corality's "Project Finance Academy" ($?): This seems to be made up of several classes ("Best Practice Project Finance Modelling", "Advanced Project Finance Modeling", etc.). They were bought by Mazars which has a big infra advisory practice.
Would be nice for this to be a comprehensive thread for lurkers/other members' benefit so that we can all learn modeling the right way. Here's some other threads that I've found to be useful:
- https://www.wallstreetoasis.com/forums/qa-infrast… (fantastic Q&A, really appreciate this one)
- https://www.wallstreetoasis.com/forums/infrastruc…
- https://www.wallstreetoasis.com/forums/megafund-p…
- https://www.wallstreetoasis.com/forums/confused-a…
- https://www.wallstreetoasis.com/forums/megafund-i…
- https://www.wallstreetoasis.com/forums/renewable-…
- https://www.wallstreetoasis.com/forums/infrastruc…
- https://www.wallstreetoasis.com/forums/renewable-…
- https://www.wallstreetoasis.com/forums/overview-o… (probably the most comprehensive thing I've seen on here)
Bump
BUMP IT
Full Bump
CFA is useless for infra in general if you have a decent corp finance background (aka, can do CF modeling/a DCF, which it sounds like you can from RE). I would try one of the PF modeling courses (depending on cost tolerance) - there are a couple cheaper ones such as Pivotal180 and Gridlines that are more doable than Corality.
bumping this thread. There isnt much info on PF out there
yeah seriously, appreciate it
Ed Bodmer is godsend. I'm pretty sure all of the resources on that site are free and I used it extensively when I was looking for more information on discrete nuances of a project finance model. If you were looking to learn about something specific in a project finance model or just valuation in general, I'd be pretty surprised if you couldn't find it on that site. The material on there is a bit disorganized in its presentation, but for a free resource you cannot beat it IMO.
In terms of something that's more structured, I've sat in on F1F9 courses before as they came to my shop to run a training program and I thought it was helpful. Corality is also good and they offer discounts if you go in groups of 3 or 5 (they run training programs at a few of the infra buyside shops I know that run analyst programs). I think for a 3 day in-person course that was open to the public, it was something like $1.5-$2.0k, but I would imagine their online courses are at a pretty steep discount to that.
To your original point on breaking in, while these courses are nice to haves, I don't actually think they'll help you stand out. Anyone can pay a few hundred $$ and throw a training course on their resume. The modelling tests you will do as part of the interview process will be nothing like the modelling you do once you're in the seat, which is what these courses are meant to help with.
Sorry, but would you mind clarifying your last line? As in, do these courses teach you interview test level modeling or actual job level modeling?
The latter - you don't need a course to learn how to prep for interviews.
I looked at Ed Bodmer's site and it looks great. However, I've seen some conflicting things about the "FAST" modeling method that he seems to encourage. Do you know anything about that, or have a view on it? It seems like a modeling standard of some kind that helps in more modeling heavy industries like PF/infra.
Site for reference: https://www.fast-standard.org/
Modelling standards vary quite a bit by shop. A lot of the FAST 'rules' are centered around keeping a model clean and simplifying formulas by using calculation blocks, which is honestly just good practice in my opinion. I've never heard of anyone outright against FAST standards, but I think a lot of it is widely accepted.
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