Investing - Theory, News & General • Re: why i say the efficient market hypothesis is false

"All models are wrong. Some models are useful."

Eugene Fama has never said markets are perfectly efficient. He views the EMH as an imperfect model that works for most investors. When new information comes out and stock prices adjust, SOMEONE is moving first and gaining arbitrage profit. It just isn't you or me.

It's analogous to Newton's theory of gravity. Technically, it's been superceded by Einstein's general relativity. But unless you're getting close to the speed of light, Newton's theory will work just fine for making calculations.

Statistics: Posted by venkman — Sun Sep 20, 2026 11:00 pm