Efficient Markets hyphotesis Essay Example | Topics and Well Written Essays - 2000 words

Efficient Markets hyphotesis - Essay Example This simple concept has remarkable repercussions for the financial markets and investors alike. In this paper we will talk about the efficient market hypothesis in great detail with reference to technical and fundamental analysis. We will talk about market efficiency and types of market efficiencies. The concepts of ‘random walk’ and ‘fair game model’ will also be discussed. In the end test and studies conducted to prove the efficient market hypothesis will be presented alongside with the conclusion. The efficient market hypothesis proposes that assets in financial markets are priced after taking all the public information available into account. This means that people might not be able to earn abnormal profit consistently for a long period of time. Efficient market hypothesis entails that investors cannot earn more than the average market returns by taking similar risk exposure as the market. This hypothesis therefore suggests that markets are efficient inf ormation wise and all the public information about an asset is perfectly reflected in the market. An obvious consequence of efficient market hypothesis, if accepted, is that markets always go towards equilibrium and this in turn means that financial markets are rational in general. Critics of efficient market hypothesis tend to dispute the ‘rationality of the markets’ as they feel that this hypothesis is not able to explain market crashes (Fox, 2009). If market is overall rational then all investors should immediately.

Strategic Plan Report Research Paper Example | Topics and Well Written Essays - 1000 words - 2

Strategic Plan Report - Research Paper Example ale organizations have strategic plans to guide them towards achieving their short term and long term goals, and the United States of America Department of Veterans Affairs is one of them. The Veterans Affairs department is the second largest, the largest being the Department of Defense. This department currently has an approximate number of 280, 000 employees (Longman, 2012). Founded over eighty years ago, this department has many roles and responsibilities, goals and objectives, all of them are centered towards the well being of USA veterans. This department, being a major one, operates with an approximate budget to the tune of $ 80 billion (Longman, 2012). The VA helps take care of veterans patient care, some basic family needs, compensation for those veterans injured during their line of duty, provision of education needs and provision of manageable home loans. The department also takes care of the veterans’ surgery and rehabilitative needs, funeral and bereavement provisions among others. The department’s short and long term goals demand a strategic plan. In the healthcare sector, the main short term goal is to be able to provide cheap affordable yet quality medication for the veterans. This definitely requires a very appropriate strategy, since the provision of healthcare is very vital to any country and its citizens well being (Panangala, 2011; Peter et al, 2013). The aforementioned operational activities form the short term goals of the department. In addition, it also aims at improving its service delivery, reducing the paper work and making disability claims easier for the veterans. The use of more specialized IT in the healthcare sector is also another goal of the organization (Longman, 2012). The department also has some long term goals, one of them being the goal to reduce and eventually get to zero cases of homelessness among the veterans. The department realizes that some of the veterans who spend their life fighting for their country, both