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Efficient market |
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Efficient marketA market in which, at a minimum, current price changes are independent of past price changes, or, more strongly, price reflects all (publicly) available information. Some believe foreign exchange markets to be efficient, which in turn implies that future exchange rates cannot profitably be predicted.Efficient marketEconomy in which prices correctly reflect all relevant information.Efficient market Similar MatchesEfficient markets theory(EMT)Efficient markets theory(EMT)Principle that all assets are correctly priced by the market, and that there are no bargains. Efficient allocationEfficient allocationAn allocation that it is impossible unambiguously to improve upon, in the sense of producing more of one good without producing less of another. Efficient frontierEfficient frontierThe combinations of securities portfolios that maximize expected return for any level of expected risk, or that minimizes expected risk for any level of expected return. Pioneered by Harry Markowitz. Operationally efficient marketOperationally efficient marketMarket in which investors can obtain transactions services that reflect the true costs associated with furnishing those services. Also called an internally efficient market. Earnings response coefficientEarnings response coefficientA measure of relation of stock returns to earnings surprises around the time of corporate earnings announcements. Further SuggestionsGini CoefficientEfficient diversification Coefficient of determination Information Coefficient (IC) Efficient capital market Inefficient portfolio Regression coefficient Internally efficient market Efficient set Correlation coefficient efficient market theory Coefficient of Variation Minimum efficient scale |
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