The programme covers the micro-economic structure of the shipping markets including freight, second-hand, newbuilding and scrap markets and presents how these shipping markets interact. 

Course Leaders

Prof. Amir Alizadeh           

Shipping Economics and Finance

Bayes Business School (former Cass Business School)

The course aims to provide delegates with both a theoretical foundation as well as practical hands-on experience on modern shipping economics and investment. It provides delegates with the essential knowledge of shipping economics, operations and investment management. 

Formulation of different types of shipping contracts is also discussed and practical examples are provided.

The programme then continues with an overview of specialised shipping sectors and liner shipping industry as well as a thorough discussion on current trend and developments in the shipping industry including fuel efficiency and cost management. 

The second part focuses on fundamentals of shipping investment including cash flow projection and analysis, different techniques used in capital budgeting techniques, capital structure and cost of capital in shipping projects, investment management of shipping projects, asset allocation and shipping investment strategies. 

The course leader, Prof. Amir Alizadeh of Bayes Business School (formerly Cass Business School), is internationally recognised academics in the fields of shipping and commodity finance, and risk management. 

His theoretical and applied research work has been published in leading academic and professional journals and he also provide consultancy services to the industry on different aspects of commodity and shipping risk management.

Please click here for our 2024 course brochure.

Course Overview

Module Outlines



An overview of the dry and wet bulk commodity trades, how the liner and tramp trades work. We also look at the structure of shipping companies.  We discuss the regulation of the shipping industry, explaining the role of class, register and the international regulatory structure.


Introduction to the Shipping Industry

Overview of commodity trade

Types of shipping service

World fleet by type and ownership

Shipping Regulation



International Law

Economic Analysis of the Shipping Markets


A look at the freight, newbuild, second-hand and demolition markets.

Economic Analysis of the Shipping Markets

The four key shipping markets





Shipping Costs & Revenue Management


Part 1: Shipping Contracts

Shipping costs and expenses

Charter contracts (voyage, trip, bareboat, time)

Charter rates, payments and fixture reports

Tanker voyage rates (Worldscale)

Charter parties (voyage and time charter)

Part 2: Voyage Cash Flow Analysis

Voyage cash flow analysis

Post fixture operation

Speed adjustment

Laytime calculation

Liner & Container Shipping


Part 1

Brief history of liner shipping

The containerisation revolution

Container Shipping Cost Components

Fleet composition and vessel values

Part 2

From liner conferences to alliances

Main liner shipping routes

Liner pricing, tariffs and freight market

LPG, LNG & Chemical Shipping


A look at the economics and structures behind the gas and chemical trades.



LPG Shipping

Structure and economics of LPG market


LNG Shipping

Structure and economics of LNG market

Chemical Shipping

Chemical trade and tanker market

Introduction to Shipping Finance & Cash Flow Projection and Analysis


Introduction to ship finance

Brief historical overview

Sources of capital for shipping

Bank finance and loan types

Capital markets



Cash Flow Projection & Analysis

Asset Play v Service Provision

Financial Statements and Cash Flows in Shipping

Annual Cash Flow Projection Example

Free Cash Flow, Equity Cash Flow, Asset Covers, and Breakeven Rates

Project Appraisal & Investment Decision in Shipping


Part 1


Time value of money

What is an investment?

Classification of assets

Present Value & Future Value

Risk and Present Value


Continuous compounding & discounting

Inflation & interest rates

Part 2

How to evaluate projects

Net Present Value

Profitability Index


Internal Rate of Return

Risk, Return & Portfolio Theory

Risk, Return & Portfolio Theory

Estimating Return and Risk

How to measure returns

How to measure risk

Comparison of risk across assets

Correlation between asset returns and prices

Combining assets into portfolio

Cost of Capital & Optimal Capital Structure


Part 1: Company and Project Costs of Capital

Capital Structure and Cost of Capital

Weighted Average Cost of Capital

Measuring the Cost of Equity

Estimating Discount Rates

Part 2: Capital Structure & Debt Policy

Optimal capital structure

Debt policy & tax shield

Cost of financial distress

Example of WACC calculation for shipping investment project

Investment Under Uncertainty


Part 1: Uncertainty and Investment Appraisal

Incorporating uncertainty in Investment Analysis

Scenario analysis

Sensitivity analysis and NPV

Simulation method in NPV analysis

Part 2: Uncertainty, Flexibility & Real Option Valuation

The value of flexibility and optionality in projects

What are Real Options?

Real Option value derivers

Real Options in Shipping Projects

Real Option Valuation

Investment Strategies & Investment Management in Shipping




Part 1: Investment theories, performance measures and ship valuation

Asset and portfolio performance evaluation

Theories of asset allocations (passive, dynamic and adaptive)

Ship valuation and factors defining ship values

Implied forward ship values

Ship values and FFA relationship

Baltic Exchange Investor Indices

An overview of the Baltic Exchange's services for ship investors.

Part 2: Shipping investment models and their performance

Investment timing in shipping

Momentum v Contrarian investment strategies

Historical performance of investment strategies

Shipping investment based on PE ratio

Part 3: Investing in Shipping Stocks & Equities

Historical performance of shipping stocks

Stock selection strategies

Tactical asset allocation and shipping equity investment

Performance of simple trading strategies

Optimisation of shipping stock portfolios

Terms and Conditions

The Baltic Exchange must be in receipt of full payment before access to the course is granted.

For the e-learning course, each delegate is provided with 180 days access to the course. If you fail to complete the course in 180 days, then you may extend the course by paying a change fee (£50 + vat per 30 days). No course material may be copied or reused without the permission of the Baltic Exchange.

You must not allow any third party to use your account information and/or computing equipment to access the digital content or course that you have booked. You may only print off any course materials for your own personal use. You must not provide, offer to sell, license or transfer the course materials (whether in whole or in part in any manner or form or in or on any media) to any other person unless we have agreed to this in writing.

In the event that we are unable to deliver classroom learning due to events beyond our control, delegates will be offered the choice of a discounted online only option, refund, reschedule to a future date, or access to an additional online course.

Further Question

Please contact: 
Tel:  +44 (0)20 3326 8465
Email:  [email protected]

Previous Attendees

A.M. Nomikos & Son (UK) 
ADM Germany
Aegis Overseas
Anglo International Shipping  Partnership
Ardmore Shipping Services (Ireland) 
Arista Shipping
Atlas Shipping
Aux'ander Advisors
Bank of America Merrill Lynch
Beaufort Shipping
Ben Line Agencies
Black Astron Energy Trading and Shipping 
Byzantine Maritime Corporation
Carriers Chartering Corp
CEM Asia Trading 
Chronos Shipping 
ContiGMT Shipping
Credit Suisse
Doric Shipbrokers 
FIMBank DIFC Branch
FinnFleet Tankers
Freight Force 
FRS Shipmanagement 
Glencore Agriculture 
Hellenic Bank 
Howe Robinson
HSH Nordbank
Huarong Leasing
IMC Industrial
Ineos Trading and Shipping
International Andromedia Shipping
International Registries (UK) 
Io's Shipbrokers
Kuwait Petroleum Corporation
Lysgaard ShipHolding 
Maersk Broker (UK)
Maritime Strategies International
Navigate PR
Neoria Compania de Naegacion 
NorthCape Capital 
NYK Line
Penfield Marine
Petredec (Europe) 
RUSAL Marketing 
S&P Global Platts
Scorpio Ship Management 
Showa Shell Sempaku K.K.
Societe Generale 
Stolt Nielsen
Strategy Finance 
Tankerska plovidba d.d.
TDN Direkt
The China Navigation Co.
Transpetrol Maritime Services
Tricon Energy 
Triomphe Shipping 
Universal Navigation