Fama (Eugene Fama)

Eugene Fama is a renowned economist known for his work on the theory of efficient markets. He argues that financial markets rapidly incorporate all available information into asset prices, making it difficult for investors to consistently outperform the market through analysis or timing. This idea, called the Efficient Market Hypothesis, suggests that active trading strategies are unlikely to generate better-than-average returns over the long term, and that a passive investment approach—like index funds—is often the best option for most investors. His research has profoundly influenced modern financial theory and investment management practices.