Based on the semi-strong form of the efficient market theory, an investor reacting immediately to a news flash on the television generallyA) can make an abnormal profit. B) is guaranteed to make a reasonable profit. C) is too late to make an exceptional profit. D) will suffer a loss.

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Business

Lorelai Obrien

12 June, 02:15

Based on the semi-strong form of the efficient market theory, an investor reacting immediately to a news flash on the television generallyA) can make an abnormal profit. B) is guaranteed to make a reasonable profit. C) is too late to make an exceptional profit. D) will suffer a loss.

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Walker Esparza · Answer 1

Option C)

Explanation:

The theory of semi-strong form or structure of efficient market is a sort of holds that security costs alter rapidly to recently accessible data, in this way wiping out the utilization of key or specialized examination to accomplishing a better yield.

Since, under the semi-solid type of the efficient market, all open data is limited in current costs.

Thus its too late for an investor responding immediately to a news flashing on the television to make exceptional gain.