arbitrage
Definition from Wiktionary, the free dictionary
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English [edit]
Etymology [edit]
From French arbitrage, from arbitrer (“to arbitrate”); see arbitrate.
Noun [edit]
arbitrage (countable and uncountable; plural arbitrages)
- The practice of quickly buying and selling foreign currencies in different markets in order to make a profit
- 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
- Any market activity in which a commodity is bought and then sold quickly, for a profit which substantially exceeds the transaction cost
- a. 1973, Benjamin Graham, The Intelligent Investor[1], edition 2003 HarperCollins ed., page 174:
- But in recent years, for reasons we shall develop later, the field of "arbitrages and workouts" became riskier and less profitable.
- a. 1973, Benjamin Graham, The Intelligent Investor[1], edition 2003 HarperCollins ed., page 174:
Derived terms [edit]
Related terms [edit]
External links [edit]
- arbitrage in Webster’s Revised Unabridged Dictionary, G. & C. Merriam, 1913
- arbitrage in The Century Dictionary, The Century Co., New York, 1911
Verb [edit]
arbitrage (third-person singular simple present arbitrages, present participle arbitraging, simple past and past participle arbitraged)
- (intransitive, finance) To employ arbitrage
- 1961, Maurece Schiller, Fortunes in Special Situations in the Stock Market[2], page iv:
- He has arbitraged by purchasing in one market and simultaneously selling the same or similar merchandise in another market.
- 1961, Maurece Schiller, Fortunes in Special Situations in the Stock Market[2], page iv:
- (transitive, finance) To engage in arbitrage in, between, or among
- 2001, Frederic S. Mishkin, Prudential Supervision: What Works and what Doesn't, page 98:
- Indeed, as banks become more adept at internal risk classifications, their incentives to arbitrage economic and regulatory capital can only increase
- 2001, Frederic S. Mishkin, Prudential Supervision: What Works and what Doesn't, page 98:
Dutch [edit]
Pronunciation [edit]
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Audio (file)
Noun [edit]
arbitrage f (plural arbitrages)
French [edit]
Etymology [edit]
Noun [edit]
arbitrage m (plural arbitrages)
- arbitration (the act or process of arbitrating)
- arbitrage
- (economics) trade-off
- (sports) refereeing