According to the Efficient Markets Theory, if Rof>R* (optimal forecast for the return > equilibrium return) for a stock/asset then, The market will the stock. This will cause the price of the stock to The Rol (optimal forecast for the return) will According to the Efficient Markets Theory, if Rof>R* (optimal forecast for the return > equilibrium return) for a stock/asset then, The market will the stock. This will cause the price of the stock to The Rol (optimal forecast for the return) will