Stock Market Efficient and Evidence 1. Is the stock market efficient? Why or Why not? Evidence ( 5 sources)
- How does behavioral finance support or contradict the idea of me? Evidence ( 2 sources)
Min 5 pages plus reference page. An important debate among investors is whether the stock market is efficient—that is, whether it reflects all the information made available to market participants at any given time. Created in 1970 by Eugene Fama, the efficient market hypothesis (EMH) maintains that all stocks are perfectly priced according to their inherent investment properties, the knowledge of which all market participants possess equally.