There are three degrees of market efficiency. All of the following statements are correct EXCEPT ____.
A) The weak form efficiency states that no investor can earn excess returns based on historical price or return information.
B) The strong form of efficiency states that no investor can consistently earn excess returns since all public and private information is reflected in stock prices.
C) The semi-strong form of efficiency states that no investor can earn excess returns based on an investment strategy using publicly available information.
D) Market efficiency is a hard and fast rule that has been verified in real-world situations.
Correct Answer:
Verified
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