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Lena [83]
3 years ago
6

An implication of the efficient market hypothesis is that __________.A. high-beta stocks are consistently overpricedB. low-beta

stocks are consistently overpricedC. nonzero alphas will quickly disappearD. growth stocks are better buys than value stocks
Business
1 answer:
DiKsa [7]3 years ago
8 0

Answer:

C

Explanation:

According to the efficient market hypothesis, it is believed that share prices reflect all information and consistent alpha generation is impossible.

So, if a stock has a high alpha, the price of the stock will rise and eventually the high alpha would be wiped off

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