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Discuss how variability is related to the shape of the distribution.
Well-Organized Markets
Financial markets characterized by high levels of efficiency, transparency, liquidity, and regulation, facilitating fair and orderly trading and pricing of securities.
Efficient Markets
A hypothesis suggesting that financial markets are "informationally efficient," meaning prices of securities reflect all available information at any moment.
Expected Risk Premium
The extra return investors require to hold a risky asset over a risk-free asset, reflecting the additional risk.
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