A Good Friend of Yours Got a Job as a Fund

question 29

Essay

A good friend of yours got a job as a fund manager.He manages a high-risk tech stock fund, and can expect to earn a large bonus if he manages to outperform the market.At the end of his first year working in the job, he indeed tells you he has earned a huge bonus.If markets are efficient, what can you expect him to tell you about his bonus a year later?

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Definitions:

Material Self

An aspect of self-concept that includes the physical items and possessions which reflect one’s identity.

Tangible Things

Physical items or objects that can be seen, touched, and measured, unlike abstract concepts or ideas.

Social

Relating to society or its organization, often focusing on the interactions, structures, and dynamics within human communities.

Spiritual

Pertaining to or involving deep feelings and beliefs, especially in relation to one’s sense of peace, purpose, and connection to the universe, religion, or nature.