CFA Practice Question

There are 275 practice questions for this study session.

CFA Practice Question

Which of the following is least likely included in the assumptions of an informationally efficient securities market?
A. A large number of profit-maximizing participants analyze and value securities.
B. New information regarding securities comes to the market in a predictable manner.
C. Profit-maximizing investors adjust security prices rapidly to reflect the effect of new information.
Explanation: The assumption that the new information comes to the market in a predictable manner is an inaccurate statement. The correct assumption is that the new information comes to the market in a random fashion.

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