The Efficient Market Theory and Evidence: Implications for Active Investment Management

by Andrew Ang, Stephen M. Schaefer, William N. Goetzmann

The efficient market theory asserts that the price of a security reflects all available information about its fundamental value. A consequence of the theory is that it is impossible to consistently beat the market and speculation must be a loser's game. Hence, an indexing strategy is bound to eventually beat a strategy that uses active management, where active management is characterized as trading that seeks to exploit mispriced assets. The Efficient...

• Format: Paperback
• Language: English
• ISBN: 1601984685
• ISBN13: 9781601984685
• Release Date: June 2011
• Publisher: Now Publishers
• Length: 100 Pages
• Weight: 0.33 lbs.
• Dimensions: 0.2" x 6.1" x 9.2"