Are the outcomes presented in this question consistent with

Assignment Help Finance Basics
Reference no: EM132525198

The Platinum Monthly Stock-Picker Chronicle ('Platinum') has been the best performed stock tipping service over the last 3 years,with Platinum subscribers being able to consistently (over the last 3 years) 'beat' risk-adjusted rates of return in comparison to alternative stock tipping providers .

In the last year however,the number of subscribers to the Platinum stock tipping service has increased dramatically,to over 5 times the previous membership. It has been found that now, when Platinum provides a stock purchase recommendation, the stock price instantly rises several percentage points. This has reduced and indeed now all-but eliminated the 'excess' returns of Platinum subscribers.

What are the returns available to Platinum subscribersand the manner in which they have been discussed in this question, before and after the significant increase in membership,in terms of your understanding of the Efficient Markets Hypothesis (EMH).

Are the outcomes presented in this question consistent with the EMH?

Reference no: EM132525198

Questions Cloud

Calculate the yield to maturity : Twelve-month interest rates for the next four years are expected to be 5%, 6%, 6.8% and 7.4% respectively. Calculate the yield to maturity on:
Why do organizations adjust the financial statements : Why do organizations adjust their financial statements? What are some common adjustments? What effect can these adjustments have on an organization
Determine the maximum deviation allowable : Calculate the IRR and use it to determine the maximum deviation allowable in the cost of capital estimates to leave the decision unchanged.
Information program security management : Your company is a security service contractor that consults with businesses in the U.S. that require assistance in complying with HIPAA.
Are the outcomes presented in this question consistent with : Are the outcomes presented in this question consistent with the EMH?
Calculate the firms total debt-to-equity ratio : Calculate the firm's total debt-to-equity ratio. Round the answers to two decimal places in percentage form. American Bacon Inc. financial statements
Financial institutions in the united states are heavily regu : Financial Institutions in the United States are heavily regulated. Given the current focus on soundness, in particular liquidity and solvency in the face of cri
Conduct a simple review of the literature : Conduct a simple review of the literature on a topic of your choice in the field of psychology, healthcare, or science. Select three primary source articles
What is the future value of a four-year ordinary annuity : What is the future value of a 4-year ordinary annuity (recall that ordinary annuities have end of year cash flows) of $1,200 if the appropriate interest rate?

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd