Associations to the word «Arbitrage»

Wiktionary

ARBITRAGE, noun. (finance) A market activity in which a security, commodity, currency or other tradable item is bought in one market and sold simultaneously in another, in order to profit from price differences between the markets.
ARBITRAGE, noun. (archaic) arbitration
ARBITRAGE, verb. (intransitive) (finance) To employ arbitrage
ARBITRAGE, verb. (transitive) (finance) To engage in arbitrage in, between, or among
ARBITRAGE PRICING MODEL, noun. (finance) An asset pricing model using one or more common factors to price returns. With only one factor, representing the market portfolio, it is called a single factor model. With two or more factors, it is called a multifactor model.
ARBITRAGE PRICING THEORIES, noun. Plural of arbitrage pricing theory
ARBITRAGE PRICING THEORY, noun. (finance) A theory of asset pricing serving as a framework for the arbitrage pricing model.

Dictionary definition

ARBITRAGE, noun. 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.
ARBITRAGE, verb. Practice arbitrage, as in the stock market.

Wise words

The chief virtue that language can have is clearness, and nothing detracts from it so much as the use of unfamiliar words.
Hippocrates