Eugene Fama
A Nobel laureate known for his empirical analysis of asset prices and the efficient-market hypothesis.
Quotes by Eugene Fama
An efficient market is one in which prices always 'fully reflect' available information.
In an efficient market, competition among the many profit-maximizing participants helps to ensure that, at any point in time, prices fully reflect available information.
The central idea of the efficient markets hypothesis is that security prices adjust rapidly to new information.
If the market is efficient, then prices will reflect all available information, and there is no way to consistently 'beat' the market.
The efficient market hypothesis is an extreme null hypothesis.
The evidence for market efficiency is extensive, and it is difficult to find consistent anomalies that persist over long periods.
The market is a tough taskmaster. It quickly corrects any mispricings.
If you believe in market efficiency, you believe that prices are the best estimates of value.
The efficient markets hypothesis does not say that prices are always 'right,' but that they are the best available estimates given the information.
The market is efficient because people are trying to make money.
It's very hard to beat the market. It's very hard to find mispriced securities.
The market is a very good information processor.
The efficient market hypothesis is a statement about the speed with which information is incorporated into prices.
If you're going to try to beat the market, you're going to have to do something different.
The market is not perfect, but it's the best we've got.
The efficient markets hypothesis is not a statement about whether people are rational or irrational. It's a statement about prices.
The market is a mechanism for aggregating information.
The market is a very powerful force.
The efficient market hypothesis is a model, and all models are simplifications of reality.
The market is a good predictor of the future, given the information available.