20634 - LONG TERM INVESTMENTS AND PUBLIC PRIVATE PARTNERSHIPS

Basic knowledge of macroeconomics and finance is highly beneficial for students attending this course.

The aftermath of the Covid-19 pandemic has underscored the importance of long-term investments and Public-Private Partnerships (PPPs) in facilitating economic recovery and resilience. Governments worldwide face the challenge of rebuilding their economies amidst increased uncertainty, mounting public debt, and the need to address the social and economic consequences of the crisis. The achievement of the Sustainable Development Goals (SDGs) necessitates mobilizing approximately $5-7 trillion per year, which entails a significant financing gap that can only be bridged through the mobilization of private long-term capital. Long-term investments and PPPs assume a critical role in financing essential infrastructure projects, including transportation, energy, healthcare, education, and digital platforms, which are vital for economic growth and societal well-being. These investments not only generate employment and stimulate economic activity but also contribute to sustainable development and the realization of environmental and social objectives. Given this context, the cultivation of specialized skills becomes imperative to comprehend, structure, and manage long-term investments and PPPs effectively. The course holds the endorsement of the European Investment Bank (EIB) institute. Moreover, the course goes beyond theoretical knowledge by providing students with the opportunity to engage with key experts in the field.

The course covers the following topics:

• The role of long term investments (LTI) for the economy and the society.
• Forms of Public Private Collaborations to attract long term investors.
• Role, functioning principles, rules and financial instruments of National and Supranational Promotional/Development Banks, in Europe, Asia, Americas.
• Green Finance and ESG investing.
• Public Private Partnerships (PPPs): main forms and features.
• PPPs for infrastructure: contractual (risks allocation) and financial models (advanced).
• Public Private Venture Capital and other forms of hybrud financial tools for SMEs and start-ups. 
• Impact Investing.

• Define long term investments and illustrate their relevance in the current economic and social scenario.
• Identify forms of public-private collaborations to sustain long-term investments.
• Understand how long term investors make their investment decisions.
• Define green finance mechanisms and ESG investment approaches.
• Define the role of Public Private Partnerships for infrastructure development, their different features acress sectors and their specific functioning mechanisms.
• Explain the role, rules and activities of Promotional Banks and recognize the links between their governance, their mission and their portfolio.
• Recognize how state and market can work together to create public value.
• Define Impact investing and indetify their principles and investment appraches.
• Explain differences between ESG and Impact Investing.

• Analyse and Discuss collaboration approaches between state and market and how they create public value with a long term perspective.
• Choose the right form of partnership to stimulate long term investments.
• Design/assess public private partnerships for infrastructure development across different sectors.
• Compare different forms of investments to achieve sustainability and impact.
• Prepare and discuss professioanal documents/presentations related to public private collaborations.

• Face-to-face lectures
• Guest speaker's talks (in class or in distance)
• Case studies /Incidents (traditional, online)
• Individual assignments
• Group assignments
• Interactive class activities on campus/online (role playing, business game, simulation, online forum, instant polls)

• Guest speaker sessions: Throughout the course, students will have the opportunity to interact with esteemed guest speakers, including top management professionals from Promotional Banks such as the European Investment Bank, as well as representatives from private companies operating in crucial and strategic sectors for economic and social development. These guest speakers will share their insights, experiences, and expertise, providing valuable perspectives on long-term investments and public-private collaborations.
• Case studies/Incidents: Each lesson will involve the discussion of short cases or incidents sourced from daily news and real-life scenarios. These case studies will allow students to delve into the practical dynamics of long-term investments and public-private collaborations, enabling them to develop a deeper and more hands-on understanding of the subject matter. By analyzing real-world examples, students will gain valuable insights into the challenges, opportunities, and best practices associated with these types of partnerships.
• Group and individual assignments: The course will incorporate group and individual assignments based on real-life facts and projects. These assignments will encourage students to apply their knowledge and skills to real-world situations, fostering critical thinking, problem-solving, and decision-making abilities
• Business game: As part of the course, students will participate in a business game. The game will simulate a scenario where students are tasked with providing suggestions to a government authority regarding the features of a public-private facility or collaboration aimed at attracting long-term investors. This interactive and engaging activity will allow students to apply their knowledge, collaborate with their peers, and develop strategic thinking and negotiation skills in a realistic and dynamic environment.

1. Written Exam (40% weight): The written exam will consist of two open-ended questions designed to assess the students' understanding and achievement of the course's learning goals. This assessment component aims to evaluate the depth of knowledge acquired throughout the course.

2. Group Assignment (25% weight): The group assignment will assess the students' ability to apply the knowledge and skills developed during the course to real-life cases on Public-Private Partnerships.

3. Business Game (25% weight): The business game will provide an opportunity for students to demonstrate their ability to structure a collaboration project within the domain of Long-Term Investments (LTI). Through interactive gameplay, students will showcase their strategic thinking, problem-solving, and negotiation skills in designing and executing a successful collaboration project.

4. Individual Assignment (10% weight): Each student will be required to write a short essay analyzing a magazine or newspaper article related to Long-Term Investments (LTI). This assignment aims to assess the students' capacity to apply the concepts learned in the course to critically analyze current events or developments in the field of LTIs.

Additional Engagement Point: An extra point will be awarded to students who demonstrate exceptional engagement during the course sessions. This can include active participation in class discussions, overall enthusiasm and commitment to the learning process.

By utilizing a combination of written exams, group assignments, business games, individual assignments, and acknowledging active engagement, the assessment components aim to comprehensively evaluate students' knowledge, skills, and application of concepts in the domain of long-term investments and public-private partnerships.

Written Exam: The written exam will consist of four open-ended questions designed to assess the students' understanding and achievement of the course's learning goals. 

- Slides

- Some comupulsory readings

The course is supported by a book specifically written by Prof. Vecchi.

- Slides

- Compuslory readings (one per each lesson, on average).

The course is supported by a book specifically written by Prof. Vecchi.