arbitrage

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ar·bi·trage

 (är′bĭ-träzh′)
n.
The simultaneous purchase and sale of equivalent assets or of the same asset in multiple markets in order to exploit a temporary discrepancy in prices.
intr.v. ar·bi·traged, ar·bi·trag·ing, ar·bi·trag·es
To be involved in arbitrage.

[Middle English, arbitration, from Old French, from arbitrer, to judge, from Latin arbitrārī, to give judgment; see arbitrate.]

arbitrage

(ˈɑːbɪˌtrɑːʒ; ˈɑːbɪtrɪdʒ)
n
(Banking & Finance) finance
a. the purchase of currencies, securities, or commodities in one market for immediate resale in others in order to profit from unequal prices
b. (as modifier): arbitrage operations.
[C15: from French, from arbitrer to arbitrate]
arbitrageur n

ar•bi•trage

(ˈɑr bɪˌtrɑʒ)

n., v. -traged, -trag•ing. n.
1. the simultaneous sale of a security or commodity in different markets to profit from unequal prices.
v.i.
2. to engage in arbitrage.
[1470–80; < Middle French, <arbitr(er) to arbitrate, regulate (< Latin arbitrārī; see arbitrate)]

arbitrage

the business of buying and selling securities, curreneies, and commodities on an international scale so as to take advantage of differences in rates of exchange and prices. — arbitrager, arbitrageur, n.
See also: Money

arbitrage

A situation in which it is possible to buy an asset in one market and then sell it immediately in another market at a higher price.
ThesaurusAntonymsRelated WordsSynonymsLegend:
Noun1.arbitrage - a kind of hedged investment meant to capture slight differences in pricearbitrage - a kind of hedged investment meant to capture slight differences in price; when there is a difference in the price of something on two different markets the arbitrageur simultaneously buys at the lower price and sells at the higher price
risk arbitrage, takeover arbitrage - arbitrage involving risk; as in the simultaneous purchase of stock in a target company and sale of stock in its potential acquirer; if the takeover fails the arbitrageur may lose a great deal of money
investing, investment - the act of investing; laying out money or capital in an enterprise with the expectation of profit
Verb1.arbitrage - practice arbitrage, as in the stock marketarbitrage - practice arbitrage, as in the stock market
commerce, commercialism, mercantilism - transactions (sales and purchases) having the objective of supplying commodities (goods and services)
merchandise, trade - engage in the trade of; "he is merchandising telephone sets"
Translations

arbitrage

[ˌɑːbɪˈtrɑːʒ] Narbitraje m

arbitrage

[ˈɑːrbɪtrɑːʒ] n (FINANCE)arbitrage m
References in periodicals archive ?
Simultaneous and nearly simultaneous arbitrages occur almost back-to-back with corresponding rapid movements in values.
This paper applies arbitrage theory as a means of valuing assets in urban low-income communities.
This paper focuses on creating new marketable capital generated from the assets in inner city areas using sophisticated financial approach of arbitrage value capturing and exchanges.
Investment banks have been doing these kinds of arbitrages for years with their own equity capital, but these strategies are relatively new to institutions.
Japanese warrant arbitrage -- This primarily involves buying a Japanese warrant that trades cheaply and simultaneously selling short the underlying Japanese stock.
Convertible arbitrage -- This is buying a domestic convertible bond long and selling the underlying stock short.
The fact is, no one arbitrages in small caps, because if they know about the (illiquidity) problem there, they know about the international funds.
He was able to document how daily returns are predictable enough in certain asset classes, most notably region-specific international funds, to permit a significant arbitrage opportunity.
However, in the actual global financial markets which may be non-perfectly-competitive (with heterogeneous expectations) and/or not strongly efficient in reflecting information (due to various policy regulations and interventions across countries), the potential profits from such arbitrages could still be available with some momentums, which can be identified at least ex-post.
However, Taylor still finds that covered interest rate arbitrages could be profitable during some periods, particularly when the exchange rates were managed by governments.
15) Such arbitrages are distinguishable from economic arbitrage in that they involve investments that have real economic risk--i.
Taxpayers seeking such benefits could obtain them in full solely by forming their entities in these jurisdictions and consequently the international tax arbitrage transaction arising through the use of a hybrid entity would be explicitly permitted in eligible jurisdictions.