ASB 3215 Advanced Investment and Theory

2013/2014
The assignment:

Why the capital markets are expected to be efficient? Discuss.

Build your argument on these three issues.

Is it possible for investors to find trends in the past stock prices and beat the market?
Explain the tests which are used to analyse the relation between the past performance and
stock returns.

Fundamental analysis enables investors to earn abnormal profits. Build up your discussion
on the two sets of tests examining this hypothesis.

Define strong-form efficient market hypothesis (EMH) and discuss the results of a study
that tests strong-form EMH.

Assignment Guidelines

Submission deadline is Monday 28 April 2014 at 12:00.

Each assignment may be prepared by teams of two participants.

The word count should not exceed 2000 words. Shortly written assignments are also
welcomed as long as they address the given questions in a complete and accurate manner.
Avoid plagiarism and use appropriate referencing. Please check

http://studyskills.bangor.ac.uk/study%20guides/avoiding_plagiarism.php.en
http://studyskills.bangor.ac.uk/study%20guides/referencing_bibliographies.php.en?menu=1
&catid=11090&subid=11175

Prospective Outline

An introduction of the assignment question;

A literature review;
A consistent and comprehensive discussion of the three issues given in the text;
A conclusion and further comments.