The clientele effect is the effect of investor preferences for dividends or capital gains.

Name: The clientele effect is the effect of investor preferences for dividends or capital gains.
Brand: Quizplus
Rating: 4.9 (57 reviews)

Question

Quizplus · Accepted Answer

The statement is true. The clientele effect is a well-known phenomenon in finance where investors choose certain types of stocks based on their preferences for dividend income or capital appreciation. This can lead to price movements in the stock market as investors shift their preferences over time.

The Clientele Effect Is the Effect of Investor Preferences for Dividends