Question 1

Overall, the low P/E strategy should be viewed as a short run strategy.

Accepted Answer

A) True 
 B)False

Question 2

What is the result of the widespread usage of the Internet with regards to efficient markets?

Accepted Answer

A)  It makes information cheaper and more accessible thus making markets more efficient. 
B)  It is subject to new regulation thus marking markets less efficient. 
C)  It increases the volatility of security prices thus making markets less efficient. 
D)  It increases competition among brokers thus making markets more efficient. 
A)  It makes information cheaper and more accessible thus making markets more efficient. 
B)  It is subject to new regulation thus marking markets less efficient. 
C)  It increases the volatility of security prices thus making markets less efficient. 
D)  It increases competition among brokers thus making markets more efficient.

Question 3

What types of information are considered in each of the three forms of the EMH?

Accepted Answer

Weak form - past price and vol

Question 4

In a semistrong form efficient market, investors are not able to use publicly available financial statement data to earn abnormal returns.

Accepted Answer

A) True 
 B)False

Question 5

A belief in the size-effect anomaly should encourage investors to buy large-firm stocks.

Accepted Answer

A) True 
 B)False

Overall, the low P/E strategy should be viewed as a short run strategy.

What is the result of the widespread usage of the Internet with regards to efficient markets?

What types of information are considered in each of the three forms of the EMH?

In a semistrong form efficient market, investors are not able to use publicly available financial statement data to earn abnormal returns.

A belief in the size-effect anomaly should encourage investors to buy large-firm stocks.

Investing Is an Important Activity Worldwide

Investment Alternatives: Generic Principles All Investors Must Know

Indirect Investing: a Global Activity

Securities Markets Matter to All Investors

All Financial Markets Have Regulations and Trading Practices

Return and Risk: the Foundation of Investing Worldwide

Portfolio Theory Is Universal

Portfolio Selection for All Investors

Asset Pricing Principles

Common Stock Valuation Lessons for All Investors

Managing a Stock Portfolio: a Worldwide Issue

Economy/ market Analysis Must Be Considered by All Investor

Sector/ industry Analysis

Company Analysis

Technical Analysis

Fixed Income Securities Are Available Worldwide

Managing Bond Portfolios: Some Issues Affect All Investors

Understanding Derivative Securities: Options

Understanding Derivative Securities: Futures

All Investors Must Consider Portfolio Management

Evaluation of Investment Performance: a Global Concept

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Exam 12: What Happens If Markets Are Efficient or Not?

Overall, the low P/E strategy should be viewed as a short run strategy.

What is the result of the widespread usage of the Internet with regards to efficient markets?

What types of information are considered in each of the three forms of the EMH?

In a semistrong form efficient market, investors are not able to use publicly available financial statement data to earn abnormal returns.

A belief in the size-effect anomaly should encourage investors to buy large-firm stocks.

Investing Is an Important Activity Worldwide

Investment Alternatives: Generic Principles All Investors Must Know

Indirect Investing: a Global Activity

Securities Markets Matter to All Investors

All Financial Markets Have Regulations and Trading Practices

Return and Risk: the Foundation of Investing Worldwide

Portfolio Theory Is Universal

Portfolio Selection for All Investors

Asset Pricing Principles

Common Stock Valuation Lessons for All Investors

Managing a Stock Portfolio: a Worldwide Issue

Economy/ market Analysis Must Be Considered by All Investor

Sector/ industry Analysis

Company Analysis

Technical Analysis

Fixed Income Securities Are Available Worldwide

Managing Bond Portfolios: Some Issues Affect All Investors

Understanding Derivative Securities: Options

Understanding Derivative Securities: Futures

All Investors Must Consider Portfolio Management

Evaluation of Investment Performance: a Global Concept

Filters