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Strong-Form Efficiency

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Strong-form efficiency
A form of pricing efficiency, that posits that the price of a security reflects all information, whether or not it is publicly available. Related: Weak-form efficiency, semi-strong form efficiency.
Strong Form of the EMT
The most controversial form of the efficient markets theory on how markets work. It holds that the market efficiently deals with all information on a given security and reflects it in the price immediately. Even insider information is immediately reflected in security prices. Therefore, the model holds that technical analysis, fundamental analysis, and any speculative investing based on them are useless. Investors and academics disagree on how well the model works. See also: Weak form of the EMT, Semi-strong form of the EMT.
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The strong-form efficiency (5), (8): This form says that anything that is pertinent to the value of the stock and that is known to at least one investor is in fact, fully incorporated into the stock value.
The random walk hypothesis for the Zimbabwe Stock Exchange: January ... by Sunde, Tafirenyika; Zivanomoyo, James / Journal of Social Sciences
Strong-form efficiency requires all bets to have the same expected return equal to one minus the track take.
Efficiency in pari-mutuel betting markets across wagering pools in ... by Owens, Douglas H. / Southern Economic Journal
The primary policy tradeoff is between the absence of strong-form efficiency (i.
MOME in hindsight: how has "The Mechanisms of Market Efficiency" ... by Gilson, Ronald J.; Kraakman, Reinier / Regulation
 
 
 
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