Asked by Benoit BOUDA on May 12, 2024

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If a market has semi-strong efficiency, then all public information is included in market prices.

Semi-Strong Efficiency

A form of market efficiency where asset prices fully reflect all publicly available information.

Public Information

Data or knowledge that is available to the general public, not restricted by confidentiality or privacy laws.

Market Prices

Market prices are the current prices at which goods, services, or financial assets can be bought or sold in a marketplace.

  • Identify the essential tenets of the Efficient Market Hypothesis (EMH) and its categorizations (weak, semi-strong, strong).
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EA
Elisa AfiouniMay 17, 2024
Final Answer :
True
Explanation :
In a market with semi-strong efficiency, it is believed that all public information is already reflected in the stock prices, meaning that investors cannot earn excess returns by trading on public information alone.