Vidyalelo
Management · Q779

International Finance and Treasury

Graduate and Post Graduate · Management · question 779

Q779

Which type of market efficiency declares that current security prices totally reflect all information, equally public and private

A.
Weak
B.
Semi-strong
C.
Strong
Answer
D.
none of these

Answer: Option C

Solution

Answer: Option C
Solution:
Strong type of market efficiency declares that current security prices totally reflect all information, equally public and private. Strong form efficiency is the most stringent version of the efficient market hypothesis (EMH) investment theory, stating that all information in a market, whether public or private, is accounted for in a stock's price.