Which of the Following Statements Is FALSE

question 9

Multiple Choice

Which of the following statements is FALSE?

• A)The existence of momentum trading strategies has been widely known for at least ten years.
• B)The information required to implement a momentum strategy is not readily available to investors.
• C)If the market portfolio is not efficient,then a stock's beta with the market is not an adequate measure of its systematic risk.
• D)If the market portfolio is not efficient,then the so-called profits from a positive alpha trading strategy are really returns for bearing risk that investors are averse to and the CAPM doesn't capture.

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Definitions:

Maslow's Needs Hierarchy

A theory in psychology that prioritizes human needs into a hierarchy from basic physical needs to complex psychological needs, culminating in self-actualization.

Security

The state of being free from danger or threat, or the measures taken to be free from those dangers.

Stability

The quality of being resistant to change or variation, often seen as a desirable trait in social, psychological, or economic contexts.

Two-Factor Theory

A psychological theory proposing that employee satisfaction and motivation are influenced by both hygiene factors and motivators, related to job context and content respectively.