The Treynor-Black Model assumes security markets are _________.
A) completely efficient
B) nearly efficient
C) very inefficient
D) random walks

Question

Quizplus · Accepted Answer

The Treynor-Black Model assumes that security markets are nearly efficient, meaning that while markets are generally efficient, there are some securities that are mispriced and can be exploited for excess returns.

The Treynor-Black Model Assumes Security Markets Are _________