Saturday, January 26, 2008

Tom Brady and Efficient Capital Markets - -

LOL...Rodney and I were interviewed for this one. Check it out.

Tom Brady and Efficient Capital Markets - -
"A potential injury to the seemingly unstoppable New England quarterback had odds makers reworking the Super Bowl point spread, knocking two points off of the original calculation and making the Patriots a 12-point favorite over the New York Giants.

The Brady boot incident is an example of the efficient-markets hypothesis, says James Mahar, an assistant professor of finance at St. Bonaventure University, near Buffalo, NY. An efficient market adjusts rapidly to the arrival of new information, which means that current prices (or the line on the Super Bowl, in this case) will reflect all available information"

1 comment:

Anonymous said...

Congrats on the article. I really enjoy the analogy plus the many other contributions you have provided other students in better understanding financial markets.
Best Regards,
Daniel Garzon, MBA
Nova Southeastern University
H.Wayne Huizenga School of Business