Question

Chris Cowlings, Chartered Financial Analyst®, uses fundamental analysis to evaluate equity securities in the country of Gooseburg. Cowling has been able to use inflation data, historical dividend information, and price to book rations to consistently outperform Gooseburg’s broad equity index. Cowling would most likely identify the markets in Gooseburg as being:

Select one:

a. Weak form

b. Inefficient.

c. Strong form.

d. Semi-strong form.

Answer 1

As fundamental analysis has been used to outperform broad equity index, the market is weak form efficient