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Sharemarket Efficiency and the Experts: Some Australian Findings

Author

Listed:
  • Philip Brown
  • Terry Walter

    (University of Western Australia. This study would not have been possible without the co-operation of the respective course organisers. Ratna Sengupta collected the rate of return data. Her skill and care are acknowledged gratefully.)

Abstract

This paper analyses the investment performance of 625 investment recommendations made by practitioners attending five Australian courses on portfolio management held between 1973 and 1979. It was found that course participants consistently out-performed the market, on a risk-adjusted basis. Their success was not due to picking winners to buy, but to nominating losers to sell.

Suggested Citation

  • Philip Brown & Terry Walter, 1982. "Sharemarket Efficiency and the Experts: Some Australian Findings," Australian Journal of Management, Australian School of Business, vol. 7(1), pages 19-31, June.
    • Handle: RePEc:sae:ausman:v:7:y:1982:i:1:p:19-31
    DOI: 10.1177/031289628200700103
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    References listed on IDEAS

    as
    1. William F. Sharpe, 1964. "Capital Asset Prices: A Theory Of Market Equilibrium Under Conditions Of Risk," Journal of Finance, American Finance Association, vol. 19(3), pages 425-442, September.
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    Cited by:

    1. Philip Brown & Andrew Ferguson & Andrew B. Jackson, 2009. "Pierpont and the Capital Market," Abacus, Accounting Foundation, University of Sydney, vol. 45(2), pages 147-170, June.

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