4.6 Competition in the Securities Markets
4.6a Efficient Market Hypothesis (EMH)
Efficient market hypothesis (EMH)
by an individual investor designed to determine if a stock
Overpriced
Underpriced
Market return
How can professional traders react more quickly to price changes than other investors?
4.6b Insider Trading
Insider trading
if a sufficient number of investors had learned quickly, the price increase
The Saudi Capital Market Authority attempts to create competitive
In an efficient market, security prices: