Blogs Posts on "Efficient Market"
Some practical examples of Behavioural Finance by Stock Market and Mutual Fund Investments in India on Nov 3, 2009Some practical examples of Behavioural Finance will show a different aspect - more from the psychological point of view - at how and why investors buy and sell stocks. It goes against the grain of Efficient Market theory that is built upon rational d...
Does the Price of a Stock reflect its Value? by Stock Market and Mutual Fund Investments in India on Oct 13, 2009"Price is what you pay. Value is what you get." - Warren Buffett Many small investors face a problem with stocks that have a 'high price'. They don't want to buy them, because they feel they can't afford them. They prefer to buy stocks tha...
The Myth of the Rational Market by HS Dent Financial on Aug 26, 2009The notion that financial markets know a lot has been around as long as financial markets themselves. In 1889, stock market chronicler George Rutledge Gibson asserted that when “shares become publicly known in an open market, the value which the...
The Myth of the Rational Market by HS Dent Financial on Aug 26, 2009The notion that financial markets know a lot has been around as long as financial markets themselves. In 1889, stock market chronicler George Rutledge Gibson asserted that when “shares become publicly known in an open market, the value which the...
The Blockbuster Video model for college text books by HS Dent Financial on Jul 6, 2009One benefit of living through a deep recession is that the hard times have a way of spurring innovation. A rising tide lifts all boats, but the opposite can be said of a falling tide. During recessions, inefficient businesses and business models...
Follow-up to “When Genius Failed: Harvard Layoffs” by HS Dent Financial on Jul 1, 2009This post is a quick follow-up to our post earlier this week “When Genius Failed: Harvard Layoffs.” Not all universities saw their endowments decimated in 2008. Many, in fact, did quite well.
Stating the Obvious: Markets Are Not Rational by HS Dent Financial on Jun 16, 2009I hate criticising the CFA Institute because, as a charterholder, I end up inadvertently bashing myself. Still, the organization’s historical commitment to the Efficient Market theories has always been frustrating to me. The CFA Institute co...
The (In)Efficient Market by HS Dent Financial on Mar 9, 2009Most money managers in the business today were taught in business school that the market is “efficient,” meaning that are meaningful information is already factored into the current stock price. The implications are that the current pr...
The (In)Efficient Market by HS Dent Financial on Mar 9, 2009Most money managers in the business today were taught in business school that the market is “efficient,” meaning that are meaningful information is already factored into the current stock price. The implications are that the current pr...
