We found a match
Your institution may have access to this item. Find your institution then sign in to continue.
- Title
Stock Investment and Excess Returns: A Critical Review in the Light of the Efficient Market Hypothesis.
- Authors
Qianwei Ying; Yousaf, Tahir; ul Ain, Qurat; Akhtar, Yasmeen; Rasheed, Muhammad Shahid
- Abstract
The expansion of investment strategies and capital markets is altering the significance and empirical rationality of the Efficient Market Hypothesis. The vitality of capital markets is essential for efficiency research. The authors explore here the development and contemporary status of the efficient market hypothesis by emphasizing anomaly/excess returns. Investors often fail to get excess returns; however, thus far, market anomalies have been witnessed and stock prices have diverged from their intrinsic value. This paper presents an analysis of anomaly returns in the presence of the theory of the efficient market. Moreover, the market efficiency progression is reviewed and its present status is explored. Finally, the authors provide enough evidence of a data snooping issue, which violates and challenges the existing proof and creates room for replication studies in modern finance.
- Subjects
EFFICIENT market theory; ABNORMAL returns; RATE of return; INVESTMENT policy; CAPITAL market
- Publication
Journal of Risk & Financial Management, 2019, Vol 12, Issue 2, p1
- ISSN
1911-8066
- Publication type
Article
- DOI
10.3390/jrfm12020097