Explanation

In a semi-strong-form efficient market, all publicly available information is already reflected in security prices. This means:

1. Technical analysis (looking at patterns of prices and trading volumes) would not be useful for generating abnormal returns.
2. Fundamental analysis would not enable investors to generate consistent abnormal returns because all publicly available information is already incorporated into prices.

However, fundamental analysis still has value in a semi-strong-form efficient market because it:

• Helps participants understand the value implications of information - Even though prices reflect all public information, fundamental analysis helps investors understand what that information means for a company's intrinsic value.
• Provides insights into company operations and industry dynamics
• Helps with portfolio construction and risk management

Why the other options are incorrect:

• Option A: In a semi-strong-form efficient market, fundamental analysis cannot generate consistent abnormal returns because all public information is already reflected in prices.
• Option C: This describes technical analysis, not fundamental analysis. Technical analysis looks at price patterns and trading volumes, while fundamental analysis examines financial statements, economic factors, and company fundamentals.

Key takeaway: In semi-strong-form market efficiency, fundamental analysis is useful for understanding information but not for generating abnormal returns.