One of the problems with investment advice that claims you should buy stock in a certain company or sector of the economy is that:
A) no one else knows such advice.
B) asset prices likely reflect that information already.
C) investment advice is not regulated.
D) sellers know less than buyers in the financial markets.

Question

Quizplus · Accepted Answer

If investment advice claims you should buy stock in a certain company or sector of the economy, chances are that other investors have already learned about and acted on that information, causing asset prices to be adjusted accordingly. This means that the advice may no longer be profitable or valuable.

One of the Problems with Investment Advice That Claims You