What does Arbitrage mean?
Definitions for Arbitrage
ˈɑr bɪˌtrɑʒar·bi·trage
This dictionary definitions page includes all the possible meanings, example usage and translations of the word Arbitrage.
Princeton's WordNet
arbitrageverb
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
arbitrageverb
practice arbitrage, as in the stock market
GCIDE
Arbitragenoun
(Finance) the simultaneous or near simultaneous purchase and sale of the same or closely linked securities or commodities in different markets to make a profit on the (often small) differences in price.
Wiktionary
arbitragenoun
The practice of quickly buying and selling foreign currencies in different markets in order to make a profit
arbitragenoun
The purchase of the stock of a future takeover target, with the expectation that the stock will be sold to the person executing the takeover at a higher price
arbitragenoun
Any market activity in which a commodity is bought and then sold quickly, for a profit which substantially exceeds the transaction cost
arbitrageverb
To employ arbitrage
arbitrageverb
To engage in arbitrage in, between, or among
Etymology: From arbitrage, from arbitrer; see arbitrate.
ChatGPT
arbitrage
Arbitrage is a financial strategy where an individual or entity takes advantage of price differences for the same asset in different markets or in different forms. This is done by simultaneously buying at a lower price in one market and selling at a higher price in another market, with the aim of making a profit without taking any significant risk. This strategy is commonly used in securities, commodities, and foreign exchange trading. It helps to maintain price efficiency in the markets.
Webster Dictionary
Arbitragenoun
judgment by an arbiter; authoritative determination
Arbitragenoun
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
Etymology: [F., fr. arbiter to give judgment, L. arbitrari.]
Wikidata
Arbitrage
In economics and finance, arbitrage is the practice of taking advantage of a price difference between two or more markets: striking a combination of matching deals that capitalize upon the imbalance, the profit being the difference between the market prices. When used by academics, an arbitrage is a transaction that involves no negative cash flow at any probabilistic or temporal state and a positive cash flow in at least one state; in simple terms, it is the possibility of a risk-free profit at zero cost. In principle and in academic use, an arbitrage is risk-free; in common use, as in statistical arbitrage, it may refer to expected profit, though losses may occur, and in practice, there are always risks in arbitrage, some minor, some major. In academic use, an arbitrage involves taking advantage of differences in price of a single asset or identical cash-flows; in common use, it is also used to refer to differences between similar assets, as in merger arbitrage. People who engage in arbitrage are called arbitrageurs —such as a bank or brokerage firm. The term is mainly applied to trading in financial instruments, such as bonds, stocks, derivatives, commodities and currencies.
Dictionary of Nautical Terms
arbitrage
The referring commercial disputes to the arbitration of two or more indifferent persons.
Numerology
Chaldean Numerology
The numerical value of Arbitrage in Chaldean Numerology is: 3
Pythagorean Numerology
The numerical value of Arbitrage in Pythagorean Numerology is: 9
Examples of Arbitrage in a Sentence
The deal is so big that there are not enough arbitragers that can keep the spread in a tight ranges, i don't think anyone wants to go into the arbitrage too big so the spread could widen further.
It’s a simple case of financial arbitrage being left open by the market.
Now you have a way to essentially transfer your dollars in and out of exchanges pretty much instantly, which of course makes it a lot easier to do arbitrage.
I fully expect smaller places to become more conservative and larger places to become more Democratic, if you believe geographic sorting / arbitrage is happening, then where people live and how they live is increasingly important in predicting their views on politics.
The underlying assets (of Wanda Commercial) are good and the stock in Hong Kong has not moved [compared with its listing price]...this is an arbitrage written in the stars, there was a real rush to join.
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Translations for Arbitrage
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"Arbitrage." Definitions.net. STANDS4 LLC, 2024. Web. 27 Apr. 2024. <https://www.definitions.net/definition/Arbitrage>.
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