🔥 Daily ChallengeCIREMarket and company analysisEasy
In the context of capital market functions, what is the term for the process of establishing a fair market price for an asset based on the interaction of supply and demand?
6 attempts · 33.3% correct
Price discoveryCorrect
Capital allocation
Liquidity
Risk transfer
Why
Price discovery is a primary function of capital markets where continuous trading determines the fair market value of securities.