• Sattar Badekhannavar

The efficient-market hypothesis is a hypothesis in financial economics that states that asset prices reflect all available information. A direct implication is that it is impossible to “beat the market” consistently on a risk-adjusted basis since market prices should only react to new information. Financial markets are influenced by money flows and information flows in free and highly competitive markets, demand and supply pressure determine the price or interest rates. In a theoretical sense, markets are said to be efficient if there is a free flow of information and market absorbs this information fully and quickly. The efficiency means, the ability of the capital market to function, so that price of securities react rapidly to new information. Such efficiency will produce price that are appropriate in terms of current knowledge, and investors will be less likely to make unwise investments.

An Overview of The Efficient Market Hypothesis

"An Overview of The Efficient Market Hypothesis", International Journal of Emerging Technologies and Innovative Research (www.jetir.org), ISSN:2349-5162, Vol.5, Issue 10, page no.936-940, October-2018, Available :http://www.jetir.org/papers/JETIR1810B78.pdf

"An Overview of The Efficient Market Hypothesis", International Journal of Emerging Technologies and Innovative Research (www.jetir.org | UGC and issn Approved), ISSN:2349-5162, Vol.5, Issue 10, page no. pp936-940, October-2018, Available at : http://www.jetir.org/papers/JETIR1810B78.pdf