One anomaly to the efficient market hypothesis is that investments in the debt of large firms will earn higher returns than investments in their stock.

Question

Quizplus · Accepted Answer

The efficient market hypothesis suggests that all available information is already reflected in stock prices, and it does not specifically predict that investments in the debt of large firms will consistently earn higher returns than investments in their stock. Market anomalies, when they occur, might contradict general market efficiency principles, but the statement as given does not accurately represent a recognized anomaly related to the efficient market hypothesis.

One Anomaly to the Efficient Market Hypothesis Is That Investments