Define arbitrage pricing.

Question:

Define arbitrage pricing.

Arbitrage

Arbitrage is a method of buying in one market and selling the same commodity or asset in another market to earn profit. This generally takes place share market where one share is traded in two stock exchanges.

Answer and Explanation: 1

Become a Study.com member to unlock this answer!

View this answer

Arbitrage pricing is a theory where the expected price of any asset is calculated by taking into account the previous price movements and...

See full answer below.


Learn more about this topic:

Loading...
Arbitrage | Definition, Examples & Legality

from

Chapter 1 / Lesson 14
6K

Learn what arbitrage is. Explore arbitrage examples to understand the definition, meaning, and importance of arbitrage trading, and learn whether arbitrage is legal.


Related to this Question

Explore our homework questions and answers library