Efficient Markets Hypothesis (Public Vs Private Information)
Channel: Jonathan Kalodimos, PhD
Date: 06/05/2019

The Efficient Markets Hypothesis is based on what type of information is reflected in a stock’s price. In order to earn alpha we need to identify types of information that will give us a competitive advantage. Understanding the difference between public and private information sets the foundation for our investing strategies and why they may (or may not) allow us to earn alpha.