Abstract
Can we predict returns based on… raw prices? Does the nominal price forecast future performance? Is it better to invest in low- or high-priced stocks? The relevant evidence seems conflicting. In this chapter, the authors reviewed the evidence and re-examined the nominal-price investing analyzing multiple countries.
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Notes
- 1.
This section is based on and partially sourced from Zaremba et al. (2016).
- 2.
- 3.
The issues discussed in this section were also described in Zaremba et al. (2016).
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Zaremba, A., Shemer, J.“. (2018). Predicting Prices Based on… Prices? The Role of Nominal Prices. In: Price-Based Investment Strategies. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-319-91530-2_7
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