Register
If the financial markets are strong form efficient, then: Question 22 options: 1) only the most talented analysts can consistently outperform the market. 2) technical analysis provides the best tool to
156k views
3 votes
If the financial markets are strong form efficient, then: Question 22 options: 1) only the most talented analysts can consistently outperform the market. 2) technical analysis provides the best tool to use to gain a marketplace advantage. 3) only individuals with private information have a marketplace advantage. 4) no one individual has an advantage in the marketplace.

User Karan Gaur
by
5.2k points

1 Answer

6 votes

Answer:

4) no one individual has an advantage in the marketplace.

Step-by-step explanation:

Strong form efficiency in a market is defined as a situation where prices are already influenced by public and insider information.

No one person or group have an advantage as a result of insider information.

So they can't predict future price movements accurately.

Price is a function of market forces. Fundamental and technical analysis cannot be used as prediction tools.

In this situation no one individual has an advantage in the marketplace.

User John Jesus
by
4.9k points
Ask a Question
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

5.7m questions

7.5m answers

Other Questions

_____ reminds customers and clients that they made a good choice in selecting a company with which to do business, or it reminds them of the good qualities of their purchase.​
On august 1 the darius co. purchased a photocopy machine for $8,000. the estimated annual depreciation on the machine is $1,680. if the company prepares annual financial statements on december 31, the
When president obama was elected, the u.s. economy was in trouble, and has slid into a recession. consumer spending was low and getting worse. in an effort to stop the decline, president obama proposed
Ensuring that an individual is who they claim to be is the function of _____. select one: a. confidentiality b. authorization c. availability d. authentication e. nonrepudiation
The current market price for good y is above the equilibrium price, and then the price of a subsitute good, x, increases. the demand curve for good y shifts as a result. what is the likely outcome of the
Link Copied!