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When was Efficient-market hypothesis created?
Efficient-market hypothesis was created in 1900.
Is an oligopoly market structure the most efficient market structure?
no it is not
What are the characteristics required to be present for a market to be described as efficient market?
kind of efficeint market
When the market does not result in an efficient allocation of scarce resources economists call this?
market failer
What prompts efficient resource allocation in a well-functioning market system?
A number of things will prompt efficient resource allocation in a well-functioning market system. The quantity and the price of the commodities are the main aspects.
What is capital market line?
It is discussed in efficient market hypothesis, meaning that you can not beat the market. Capital market line is drawn as a tangent on the curve representing both risky and non risky portfolio. At the point where tangent is drawn represents a model portfolio akin to market. All portfolio above this point has a higher risk reward ratio.
What Portfolio is located on the capital market line to the left of the market portfolio?
a portfolio with a long position in risk free assest
What is the difference between an efficient portfolio and the optimal portfolio?
The difference is that an efficient portfolio is one that offers the lowest risk for the greatest return or vice versa. An optimal portfolio is one that is preferred by investors because it is tailored specifically to the individual's risk preferences.
Is a diversified portfolio with a beta of 2 twice as volatile as the market portfolio?
Yes. That's what it means. The "beta of 2" is a comparison to the market portfolio. The volatility measure is usually annualized standard deviation and the "market portfolio" is commonly the S&P 500 Index, but should be a broad index that is similar to the securities in the portfolio. The market portfolio used for a portfolio of international securities could be the MSCI EAFE Index, for example.
What does the tangency point M represent in the Capital Market Line?
The tangency point M represents the optimal portfolio on the efficient frontier that is a combination of the risk-free asset and the risky portfolio with the highest Sharpe ratio. It represents the portfolio that maximizes the risk-adjusted return, providing the best trade-off between risk and return for an investor.
Why portfolio theory apply in current financial market?
Like the best portfolio theory for today's market is based on the Dynamic Market Environment theory.
What is the market cap for PowerShares Global Agriculture Portfolio PAGG?
As of July 2014, the market cap for PowerShares Global Agriculture Portfolio (PAGG) is $70,656,000.00.
What is the market cap for PowerShares NASDAQ Internet Portfolio PNQI?
As of July 2014, the market cap for PowerShares NASDAQ Internet Portfolio (PNQI) is $332,688,000.00.
What is the market cap for Altisource Portfolio Solutions SA ASPS?
As of July 2014, the market cap for Altisource Portfolio Solutions S.A. (ASPS) is $2,633,350,271.04.
What is the market cap for American Strategic Income Portfolio ASP?
As of July 2014, the market cap for American Strategic Income Portfolio (ASP) is $43,709,649.23.
What is the market cap for American Municipal Income Portfolio XAA?
As of July 2014, the market cap for American Municipal Income Portfolio (XAA) is $82,084,367.42.
When was Efficient-market hypothesis created?
Efficient-market hypothesis was created in 1900.
