Information availability means how easily investors can access important information about securities, companies, and markets.
When information is widely available, investors can analyze it and trade based on it. This helps prices adjust quickly and makes the market more efficient.
Example:
Suppose a company announces that its profit has increased from ₹100 crore to ₹130 crore.
If this information is publicly available to all investors, many investors may revise their valuation and start buying the stock. The stock price may rise from ₹800 to ₹900 quickly.
But if only a few investors get this information early, they may gain an unfair advantage. This reduces fairness and lowers market efficiency.
So, equal and timely access to information is important for an efficient market.
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