FI 393 Study Guide - Final Guide: Efficient-Market Hypothesis, Market Anomaly, Stock Market
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The _________ effect may explain much of the small-firm anomaly: january. The effect of liquidity on stock returns might be related to: the small-firm effect. The p/e effect: the small firm effect. The broadest information set is included in the _____. The fama and french evidence that high book-to-market firms outperform low book-to- market firms even after adjusting for beta means that _________. Either high book to market firms are underpriced or the book to market ratio is a proxy for a systematic risk factor. Investors cannot usually earn abnormal returns by following inside trades after knowledge of the trades are made public. If the daily returns on the stock market are normally distributed with a mean of . 05% and a standard deviation of 1%, the probability that the stock market would have a return of - 23% or worse on one particular day (as it did on black monday) is approximately.
