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Basic Question 1 of 13

Which statement is true?

I. Trading limitations contribute to market efficiency.
II. Arbitrage activities contribute to market efficiency.

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I am using your study notes and I know of at least 5 other friends of mine who used it and passed the exam last Dec. Keep up your great work!


Learning Outcome Statements

describe market efficiency and related concepts, including their importance to investment practitioners

contrast market value and intrinsic value

explain factors that affect a market's efficiency

CFA® 2024 Level I Curriculum, Volume 3, Module 3.