Riskless arbitrage
The simultaneous purchase and sale of the same asset to yield a profit.
Related Terms: ...
A riskless arbitrage in which a discount option is purchased and an opposite position is taken in the underlying security.
Reversal Arbitrage A riskless arbitrage that involves selling the stock short, writing a put, and buying a call. The options have the same terms.
riskless arbitrage A risk-free transaction consisting of purchasing an asset at one price and simultaneously... riskless asset An asset whose future return is known with certainty, barring complete changes in the market.
DISCOUNT ARBITRAGE - A riskless arbitrage in which a discount option is purchased and an opposite posit...
DISCOUNT BOND - Debt sold for less than its principal value. If a discount bond pays no coupon, it is c...
Similar financial terms
Riskless arbitrage
The simultaneous purchase and sale of the same asset to yield a profit.
If the takeover plans fall through, the traders may be left with enormous losses. Risk arbitrage differs from riskless arbitrage, ...
 See also: Funding, Risk arbitrage, Systematic risk, Expense, Risk management
  
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