Following the Theory of the "Efficient Market Hypothesis" All of the Following

Multiple Choice

Following the theory of the "efficient market hypothesis" all of the following are true EXCEPT

A) securities are typically in equilibrium, meaning they are fairly priced and their expected returns equal their required returns.
B) since stocks are fully and fairly price, it follows that investors should not waste their time trying to find and capitalize on miss- priced (under- or over- valued) securities.
C) insider trading scandals have proven that stocks are not fully and fairly priced; as a result, it would be worthwhile for investors should spend time searching for mispriced (over- or under- valued) stocks.
D) at any point in time, security prices fully reflect all public information available about the firm and its securities, and these prices react swiftly to new information.