arbitrage

Definitions of "arbitrage"
  1. A financial strategy involving buying a specific asset like a commodity, security, or foreign currency in one market, with the intention of promptly reselling it in another market for a higher price
  2. A financial maneuver which involves purchasing the stock of a company that is a target of a takeover, with the plan of making a profit by reselling it to the party initiating the takeover
How to use "arbitrage" in a sentence
  1. The investor was keen to engage in arbitrage to exploit price differences in various markets.
  2. When the news of the business takeover broke, many investors tried their hand at arbitrage to make some quick money.
  3. The rapid fluctuations in the currency market presented an opportunity for arbitrage for many savvy investors.

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