Klondike
@klondike
The efficient market hypothesis (EMH) suggests that asset prices reflect all available information. According to EMH, consistently outperforming the market is challenging. Investors should consider whether they believe in market efficiency when choosing strategies.
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Doubltop
@doubltop
Leveraged ETFs use financial derivatives to amplify returns. They can provide significant gains but also come with higher risk and potential losses. Leveraged ETFs are suitable for short-term trading rather than long-term investing.
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Inita
@inita
The bid-ask spread represents the difference between the buying and selling price of a security. A narrow spread indicates high liquidity, while a wide spread suggests lower liquidity. Understanding bid-ask spreads is important for effective trading.
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