Strong-form market efficiency states that the market incorporates all information into stock prices.Strong-form efficiency implies that
A) an investor can only earn risk-free rates of return.
B) an investor can always rely on technical analysis.
C) professional investors cannot consistently outperform the market.
D) an investor can only earn risk-free rates of return and can always rely on technical analysis, and professional investors cannot consistently outperform the market.
Correct Answer:
Verified
Q2: Weak-form efficiency implies that past stock returns
A)form
Q5: Informational efficiency in financial markets results in
Q13: Financing decisions differ from investment decisions because
A)financing
Q15: Which of the following is a statement
Q16: If the efficient market hypothesis holds, investors
Q17: If the weak form of market efficiency
Q20: The different forms of market efficiency are
A)weak
Q21: In order to test the strong form
Q22: For most stocks, a scatter plot chart
Q23: The conviction of Raj Rajratnam for insider
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