arbitrageur

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Arbitrageur

One who profits from the differences in price when the same, or extremely similar, security, currency, or commodity is traded on two or more markets. The arbitrageur profits by simultaneously purchasing and selling these securities to take advantage of pricing differentials (spreads) created by market conditions. See: Risk arbitrage, convertible arbitrage, index arbitrage, and international arbitrage.

Arbitrageur

A trader who practices arbitrage. That is, an arbitrageur attempts to profit from inefficiencies in price by making transactions that offset each other. For example, one may buy a security at a low price, and, within a few seconds, re-sell it to a willing buyer at a higher price. Arbitrageurs can keep prices relatively stable as markets attempt to resist their attempts at price exploitation. They often use computer programs because their transactions can be complex and occur in rapid succession.

arbitrageur

One who engages in arbitrage. Also called arb.

arbitrageur

a person or firm which purchases SHARES in a company and other FINANCIAL SECURITIES in the hope of making a windfall profit. Arbitrageurs deliberately put a company into ‘play’; that is, by making strategic share purchases in the company the arbitrageur fuels SPECULATION that a TAKEOVER BID is in the offing, causing the company's share price to rise. The arbitrageur then sells off his stake at a suitable profit. See ARBITRAGE.
References in periodicals archive ?
When the temporal spread becomes smaller than normal, the arbitrager will "put on reverse spread" whereby he or she simultaneously sells the nearby futures contract and buys the faraway futures contract.
Before we consider the role of arbitragers, think about the major players in the markets--the buyers and the sellers.
These results suggest that in general arbitragers and other market players operate actively in Nifty index options market due to which significant portion of volatility related information is impounded in the two markets simultaneously.
Arbitragers make gains by discovering price discrepancies that allow them to buy cheap and sell dear.
We also want to involve banks, corporate houses including arbitragers, hedgers, traders and investors.
But there are the rational arbitragers who offset the market and trade against them.
The Wall Street Journal last week reported the despair and frustration felt by arbitragers and hedge funds when megadeals like Fox-Time Warner or Sprint and T-Mobile were abandoned.
When these gaps occur, arbitragers buy the cheaper one and sell
The difference is that in developed markets the profit margins are wiped out by the actions of the arbitragers themselves.
After seeing record volumes this year, the Dubai Gold & Commodities Exchange expects to more than double its trading volume in gold futures contracts next year, reflecting growing demand from retail investors and arbitragers, a senior executive said yesterday.
As explored below, the ubiquity of these archetypes can be seen in the way in which arbitragers both rely on racialization and seek to evade it through cosmopolitan networking.
But, because China's exchange rate and interest rates are inflexible, the CNH-CNY spread persists, and arbitragers are able to reap fat profits at the economy's expense.