Market Efficiency (2025 Level I CFA® Exam – Equity – Module 3)

Learn Market Efficiency for the 2025 CFA Level I Exam. This lecture explains Eugene Fama’s Efficient Market Hypothesis (EMH) and its implications for analysts, investors, and portfolio managers. What you’ll learn Meaning and importance of market efficiency EMH by Eugene Fama: weak, semi-strong, strong forms Market vs intrinsic value Factors affecting efficiency Market anomalies and behavioral finance Active vs passive portfolio management LOS covered Describe market efficiency and related concepts Contrast market and intrinsic value Explain factors affecting efficiency Contrast weak, semi-strong, strong forms Describe anomalies and behavioral finance relevance CFA Prep Packages: Level I: https://analystprep.com/shop/cfa-leve... Level II: https://analystprep.com/shop/learn-pr... Levels I, II & III (Lifetime access): https://analystprep.com/shop/cfa-unli... Prep Packages for the FRM® Program: FRM Part I & Part II (Lifetime access): https://analystprep.com/shop/unlimite... Topic 5 – Equity Investments Module 3 – Market Efficiency 0:00 Introduction and Learning Outcome Statements 6:39 LOS : Describe market efficiency and related concepts, including their importance to investment practitioners. 15:12 LOS : Contrast market value and intrinsic value. 19:19 LOS : Explain factors that affect a market’s efficiency. 21:55 LOS : Contrast weak-form, semi-strong-form, and strong-form market efficiency. 31:22 LOS : Explain the implications of each form of market efficiency for fundamental analysis, technical analysis, and the choice between active and passive portfolio management. 36:37 LOS : Describe market anomalies. 52:25 LOS : Describe behavioral finance and its potential relevance to understanding market anomalies. #CFAExam #MarketEfficiency #EfficientMarketHypothesis #CFALevel1 #EquityInvestments #BehavioralFinance #AnalystPrep #FinanceEducation