Table of Contents
1 Cover
4 Foreword
6 1 From the Idea to the Stock Market 1.1. Prologue 1.2. A long and rigorous path 1.3. Categories to represent the progress made 1.4. Use of criteria satisfaction levels as a rating guide
7 2 How to Develop the Innovative Capacity of Companies 2.1. Introduction 2.2. Siphoning queries to produce an idea 2.3. Having the means (skills) required 2.4. Having an appropriate organization
8 3 Innovation and Its Challenges for the Company 3.1. Introduction 3.2. General innovation policy: a vital issue, survival 3.3. Innovation: major sectoral issues
9 4 Financial Evaluation of an Innovation Project 4.1. Introduction 4.2. Costing 4.3. Judgment (goodwill) 4.4. Negotiation
10 5 Funding Innovation 5.1. Issues related to funding growth 5.2. Means of funding growth
11 6 Valorization of Innovation by Financial Markets 6.1. How to determine the expected return from innovative companies 6.2. Outperformance of innovative companies
12 7 Innovation and Credit Risk 7.1. Credit risk 7.2. Credit risk and rating agencies 7.3. Relationship between credit risk and innovation 7.4. Innovative companies less risky in the long-term? 7.5. Conclusion
13 8 Financial Innovation: Creating Value… or Risk? 8.1. Basic concepts of portfolio management 8.2. Risk-creating financial innovation?
14 Conclusion
15 References
16 Index
List of Tables
1 Chapter 5Table 5.1. Major barriers to innovationTable 5.2. Investments in millions of euros (source: “La finance participative 4...Table 5.3. LBO exit solutions by period of initial investment (source: Kaplan an...
2 Chapter 6Table 6.1. Top 20 most innovative U.S. firms and their industry (source: Bloombe...Table 6.2. Ranking based on annualized alpha of the 20 most innovative US compan...Table 6.3. Ranking based on annualized alpha of the 20 most innovative US compan...Table 6.4. Ranking based on annualized apha of the 20 most innovative US compani...Table 6.5. Ranking based on annualized alpha of the 20 most innovative U.S. comp...
3 Chapter 7Table 7.1. Rating tables of the main rating agencies (sources: Standard & Poor’s...
4 Chapter 8Table 8.1. Correlations between the S&P 500 and various so-called “alternative” ...
List of Illustrations
1 Chapter 1Figure 1.1. Staircase. For a color version of this figure, see www.iste.co.uk/di...Figure 1.2. Target markets as a function of DNA. For a color version of this fig...Figure 1.3. From idea to final product. Product marketing action. For a color ve...
2 Chapter 3Figure 3.1. Survival rate of start-ups after one year of activity1Figure 3.2. Survival rate of business start-ups by year of establishment2. For a...Figure 3.3. Top 20 causes of start-up failure3. For a color version of this figu...Figure 3.4. Life cycle of a product/service. For a color version of this figure,...
3 Chapter 5Figure 5.1. Variation in five-year survival rate by five characteristics3. For a...Figure 5.2. Crowdfunding: funds raised by type. For a color version of this figu...Figure 5.3. Crowdfunding: statistics by project. For a color version of this fig...Figure 5.4. Investments by BAs in 20186. For a color version of this figure, see...Figure 5.5. Interest rates for new small business credit (%)7. For a color versi...Figure 5.6. Relevance of different sources of financing for SMEs in the euro are...Figure 5.7. Assets under private market management (Bökberg et al. 2019). For a ...Figure 5.8. Comparison of equity market valuations and private funds (source: Mc...
4 Chapter 6Figure 6.1. Relationship between a share’s expected return (E(Ri)) and its risk ...Figure 6.2. Top 50 of BCG’s 2019 most innovative companies of BCG (source: Ringe...
5 Chapter 8Figure 8.1. Normal distributionFigure 8.2. Example of an efficient frontier calculated using Excel (source: Blo...Figure 8.3. Example of the variance and covariance matrix calculated using ExcelFigure 8.4. Efficient frontiers as a function of asset correlation (inspired by ...
Guide