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1. (n.) arbitrage
the simultaneous sale of a security or commodity in different markets to profit from unequal prices.
2. (v.i.) arbitrage
to engage in arbitrage.
Etymology: (1470–80; < MF, <arbitr(er) to arbitrate, regulate (< L arbitrārī; see arbitrate ))
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| Definition of 'Arbitrage' |
Princeton's WordNet |
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1. (verb) arbitrage
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
2. (verb) arbitrage
practice arbitrage, as in the stock market
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| Definition of 'Arbitrage' |
Webster Dictionary |
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1. (noun) Arbitrage
judgment by an arbiter; authoritative determination
2. (noun) Arbitrage
a traffic in bills of exchange (see Arbitration of Exchange); also, a traffic in stocks which bear differing values at the same time in different markets
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