The Efficient Market Hypothesis Suggests That ________

question 53

Multiple Choice

The efficient market hypothesis suggests that ________.

• A) active portfolio management strategies are the most appropriate investment strategies
• B) passive portfolio management strategies are the most appropriate investment strategies
• C) either active or passive strategies may be appropriate, depending on the expected direction of the market
• D) a bottom-up approach is the most appropriate investment strategy

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Definitions:

HIPAA

The Health Insurance Portability and Accountability Act, a federal law in the United States that sets standards for the protection of sensitive patient health information.

GPS

GPS, or Global Positioning System, is a satellite-based navigation system that allows any user with a GPS receiver to determine their precise location (latitude, longitude, and altitude) anywhere on Earth.

CAM

Computer-Aided Manufacturing, a technology that utilizes computer software and machinery to facilitate and automate manufacturing processes.

BYOD

Bring Your Own Device; a policy allowing employees to use their personal devices for work purposes.