{"product_id":"critical-review-about-implications-of-the-efficient-market-hypothesis-von-sascha-kurth","title":"Critical Review about implications of the Efficient Market Hypothesis","description":"\u003cp\u003eSeminar paper from the year 2011 in the subject Business economics - Investment and Finance, grade: 1,0, University of Hull, course: Current Issues Financial Management, language: English, abstract: The study examines and critical reviews the literature for the different implications based on\u003c\/p\u003e\u003cp\u003ethe three levels of the Efficient Market Hypothesis for investors and company managers. If\u003c\/p\u003e\u003cp\u003ethe weak form of the EMH holds, the technical analyse is useless, but ninety percent of\u003c\/p\u003e\u003cp\u003etraders in London are using it. If the semi-strong-form holds the fundamental analysis, study\u003c\/p\u003e\u003cp\u003eof published accounts, search for undervalued companies are useless and investors should be\u003c\/p\u003e\u003cp\u003efocus on diversification and avoiding of transaction costs. Furthermore the semi-strong form\u003c\/p\u003e\u003cp\u003ewould imply for managers, that accounting disclosure to deceived shareholders is useless, the\u003c\/p\u003e\u003cp\u003ecompany market value is the best indicator for the company value and management decisions,\u003c\/p\u003e\u003cp\u003ethe company does not need specialists for the timing of issues and there are no opportunities\u003c\/p\u003e\u003cp\u003efor a cheap acquisition of another company. At least if the strong-form of the EMH holds, it\u003c\/p\u003e\u003cp\u003ewould imply that even with insider information it would not be possible to get above average\u003c\/p\u003e\u003cp\u003ereturns. The literature shows, that the studies of EMH have made an important contribution to\u003c\/p\u003e\u003cp\u003eour understanding of the security market. It also shows that in some cases scientific results do\u003c\/p\u003e\u003cp\u003enot strong influence the behaviour of manager and investors in the ¿real world¿.\u003c\/p\u003e\u003cdiv class=\"aw-variant-hidden-subtitle-div\" id=\"aw-variant-subtitle-9783656040705\"\u003e\u003ch3\u003e\u003c\/h3\u003e\u003c\/div\u003e","brand":"Libri","offers":[{"title":"Softcover - 9783656040705","offer_id":39445829353565,"sku":"9783656040705","price":18.95,"currency_code":"EUR","in_stock":true}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/0940\/0622\/files\/a3b30721-456b-40ce-955b-daed820f2f57.jpg?v=1777872461","url":"https:\/\/shop.autorenwelt.de\/en\/products\/critical-review-about-implications-of-the-efficient-market-hypothesis-von-sascha-kurth","provider":"Autorenwelt Shop","version":"1.0","type":"link"}