Examlex

Solved

The Basic Rule of Probability Is That

question 30

Multiple Choice

The basic rule of probability is that:


Definitions:

Market Efficiency

A financial market attribute where prices of securities fully reflect all available information at any moment in time.

Excess Return

The return achieved by an investment over and above the return of a benchmark index or risk-free rate, signifying performance attributable to the investment's risk.

Information

In the context of finance, information refers to data regarding market trends, individual securities, economic indicators, and other factors that influence investment decisions.

Insider Trade Disclosures

Legal filings that publicly disclose trades of company securities made by company insiders, enhancing transparency and maintaining investor trust.

Related Questions