When investors are not capable of making superior investment decisions on a continual basis based on past prices, public or private information, the market is said to be:
A)Weak-form efficient
B)Semi-strong-form efficient
C)Strong-form efficient
D)Fundamentally efficient

Question

Quizplus · Accepted Answer

In a strong-form efficient market, all information (past prices, public, and private) is already reflected in stock prices, making it impossible for investors to consistently achieve superior returns.

When Investors Are Not Capable of Making Superior Investment Decisions