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John doesn’t believe there is any value to be had in reading the first edition of the newspaper to help formulate an investment strategy for his share portfolio
How efficient does john believe the capital markets are?
Is the market inefficient as there is no available information?
Can you please help me understand this mcq
ThanksI am not sure what you are wanting from me, because you have the BPP answer (and they explain it very well).
If John thought the newspaper was giving him information then nobody else knew then there would be value to be had in reading the newspaper. However he must believe that if the information is already publicly available then it will already have affected the share price. Hence the answer 🙂
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