In an efficient market,the current price reflects all available information.

Question

Quizplus · Accepted Answer

In an efficient market, all available information is quickly reflected in the current price of an asset, making it impossible to consistently achieve returns above the market average. This theory is supported by the fact that professional stock pickers, who spend their careers analyzing the market, typically do not outperform the overall market over the long term.

In an Efficient Market,the Current Price Reflects All Available Information