Using the Case of Standard Chartered Bank: Valuation and Capital Structure by Ruth S.K. Tan,Zsuzsa R. Huszar,Weina Zhang

Questions

1. Is the weighted average cost of capital valuation model appropriate for a financial institution?

2. Perform flow to equity valuation with attached sensitivity analysis.

3. Perform a dividend discount model valuation and attached sensitivity analysis at a lower growth rate of 5 per cent.

4. Perform price multiples (or relative) valuation analysis using Price to Equity (P/E) and Price to Book (P/B) valuation methods.

5. How can Standard Chartered Bank meet the Basel III requirements?