rue or false: the pattern of returns on the days preceding a public announcement date can yield some interesting evidence regarding efficient markets and information leakage. true false question. true

Respuesta :

False: Market performance implies expenses mirror all to be had statistics, however it does now no longer suggest positive knowledge. Many portions of statistics which are to be had and contemplated in expenses are really uncertain.

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Market performance refers to the diploma to which marketplace expenses mirror all to be had, applicable statistics. If markets are efficient, then all statistics is already included into expenses, and so there may be no manner to "beat" the marketplace due to the fact there aren't any undervalued or hyped up securities to be had. In case the markets occur to be efficient, then it manner that every one the statistics is already incorporated into expenses and it, therefore, affords possibilities for the ones shopping for and promoting securities to make profits.

The detail of profit-making is what makes funding managers have an hobby in marketplace performance.

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