Efficient market

Economics - markets.

A market in which there is a sufficiently large number of buyers and sellers to eliminate arbitrage opportunities, and in which the trade off between risk and return is fully reflected in prevailing market prices.

See also

• Arbitrage
• Capital asset pricing model
• Demand
• Efficient market hypothesis
• Externality
• Free market
• Market
• Market mechanism
• Orderly market
• Retail
• Supply
• Transparency
• Wholesale
• X-inefficiency