FMF9

Syllabus F4. EMH and practical considerations 3 / 3

a) Distinguish between and discuss weak form efficiency, semi-strong form efficiency and strong form efficiency.
b) Discuss practical considerations in the valuation of shares and businesses, including:
i) marketability and liquidity of shares
ii) availability and sources of information
iii) market imperfections and pricing anomalies
iv) market capitalisation

c) Describe the significance of investor speculation and the explanations of investor decisions offered by
behavioural finance.
EMH and practical considerations