Which one of the following is NOT an assumption of efficient capital markets?
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A) |
There are a large number of participants that analyze and value securities independently of one another. |
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B) |
Risk is included in the pricing of the security. |
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C) |
Market participants correctly adjust prices when new information is received. |
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D) |
Security prices adjust rapidly. |
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The correct answer was C) Market participants correctly adjust prices when new information is received.
Market efficiency assumes that market participants adjust prices rapidly to reflect their interpretation of new information, but not always correctly. | 
发表于 2006-4-27 14:50
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