Efficient Capital Markets Explained

In every one of my videos I tell you things that hinge on one of the landmark ideas in financial economics, the efficiency of the capital markets. As fundamental as market efficiency is to good financial decision-making, it is poorly understood by most investors.

Referenced in this video:

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[Hyperpandas]

Can we all just take a moment to appreciate the rigor Ben brings to these videos? Bravo.

[DFDFusion]

I'm young and am about to start investing. Your videos are definitely saving me from naive mistakes. Thank you!

[Pancho]

As a finance professional i must say, your videos are by far the best on youtube. Thanks alot, you help me explain hard topics to my friends and family.

[claudiobadin]

Ben, THANKS for bringing such high quality videos full of complex information in a way that even I can understand. This is the best YouTube channel for investments!

[investimentos]

This is arguably the best video ever recorded on YouTube. Thank you Ben!

[Ramaromu]

I just watched this video and the amount of effort and research that you put into your work outshines so much of other youtubers or even professors. Well done and thank you for helping out with this complex topic!

[AashimGupta]

This is simply masterful. A virtuoso performance. Thanks so much for all that you do.
And yes - " The Map is not the territory"

[Whatsthisdo]

After listening to explaining factors to Ben's mom and then watching this, it's all starting to come together.
Thanks for the channel, podcast and portfolio options on your site :)

[jugzster]

I was just looking for additional reason to buy globally diversified low-cost index funds, and I learned the scientific method along the way 😅. Insightful and well-researched video as always!

[leelogan]

Some of the best and best reasoned advice and instruction on the internet. Congratulations and well done.

[carlossoto]

Ben, thanks for bringing complicated financial information into more simple and understandable material. Your videos are informative, concise and clear, no wonder you are gaining popularity in Youtube. Way to go, I can't wait for your next video. Cheers,

[Rileyb]

Amazing video! You never cease to amaze me! Ben is the best portfolio theory content creator in history!

[jingles]

I am here for the second time Ben. This channel is a treasure trove. Thanks for your efforts.

[kangre]

Excellent information Ben. As physicians, we are trained in the scientific method. It is refreshing to hear your evidence-based approach to finance and investing. I will be watching your videos regularly. Thank you!

[AlessandroBottoni]

Great video, as usual. Congratulations! It is hard to explain a vast and complex concept, like EMH, in a <15 minutes video. You really did a great job.

[robinimpey]

What a great explanation of an efficient market, and why, for the most part, that is what we have. Your ability to simplify the complex world of investing is very helpful. (I must admit I did back up and listen to a few portions of this video a second time.)


BUT, you know it's easy to be a successful active manager because as soon as you have an underperforming fund you just retire it and create a "successful" one! 😉

[pabloperezlarrubia]

Ben, first of all, I would like to thank you your videos and the quality of them. They are incredibly helpful for begginers like me. I would appreciate if you could talk about if you think that it would be great to include other investment strategies (crowlending for example) or it is enough with the index funds. And congratulations for your videos!

[chesterchambers]

Outstanding - simply the best that I have seen on this topic.

[junfan]

(EMH) explains this phenomenon: current market prices reflect the total knowledge and EXPECTATIONS of all investors, and it is highly UNLIKELY that one investor can know more than the market does COLLECTIVELY. For this hypothesis to hold true, one condition must be met: any new information must be disseminated to the public rapidly and completely so that prices instantly adjust to new data. If this is the case, an investor can CONSISTENTLY beat the market ONLY with the best of LUCK. As behavioral economists Meir Statman puts it, “ The market may be crazy, but that doesn’t make you a psychiatrist.”

[elliottmiller]

One of your best videos to date! But like that is every video!

I can hear a lot of influence from some of your podcast guests, including the explanation you made to your mother and that one doctor guy.