**6. Conclusion**

Throughout the chapter we have defined and discussed the possible issues relating to both emerging economies and the information efficiency of their markets. In summary, when analysing financial markets, whether from a developed or from an emerging economy, the term 'efficiency' refers to the informational efficiency of the market, which is about the degree of information reflected in the prices of financial assets. The efficient market hypothesis is one of the most popular theories in this area and states that all existing information is somehow quickly incorporated into the stock prices. In this way everyone will have access to the same information, and no investor can be able to 'beat the market'. This theory has gained more popularity in the recent years with its application to the emerging economies.

But, why studies conducted on emerging economies important? There are specific characteristics of these markets that make them attractive for analysis and for investors, such as lower than average income per capita, high volatility, rapid growth, higher than average return and less mature capital markets. These characteristics actually make emerging economies unique and interesting in the eyes of investors. In emerging economies, returns of stocks are said to be highly predictable and the stock markets less efficient than those of developed economies, giving a chance for investors to exploit the situation and increase their profits.

Studies also point out that not all markets follow the principles of EMH and there exist inefficient markets, i.e. markets that are not efficient in all three forms of efficiency: weak, semistrong and strong forms, as can be seen from the results of our study in the previous section. These deviations, which are generally referred to as 'anomalies', can take place just once or repeatedly. There are different types of anomalies known. They can be classified under three categories: calendar, technical and fundamental anomalies. All of them point out to the fact that there could be opportunities to exploit by investors.

At the end of the chapter, we have analysed the stock prices given on the major indices of the 24 emerging markets located all around the world in order to see if they are weak form efficient and if there are opportunities that can be exploited. Using the ADF test, data from February 2008 to May 2017 were analysed. The results indicated that out of the 24 markets only 7 of them were inefficient and the rest were weak form efficient, which contradicts the generalised view that emerging economies are inefficient. These results provided an interesting ground for comparison to information efficiency literature, especially focusing on the postcrisis period.

However, knowing that the amount of resources and opportunities are still much higher in emerging economies, it is important to gather as much information about these markets. Whether we use technical analysis to look at past behaviour and sources or we use fundamental analysis to focus on the macro- and microeconomic factors, there is an ocean of information and knowledge waiting to be discovered.
