Home » Investment Glossary » Arbitrage Trading

Arbitrage Trading

retail stock investorArbitrage trading is a type of stock trading in which an investor buys a stock of a company from one exchange and then sells the same stock  on another exchange.In this type of trading investor takes advantage of the price discrepancies present on different stock exchanges.

 

According to the stock experts,in this type of trading ,investor has to take very quick and focused decisions to take advantage of price discrepancies.So its very difficult to implement this stock trading strategy,as after the advent of the E-trading systems,these types of price discrepancies are not long term.

 

Facebooktwittergoogle_plusredditpinterestlinkedinmailby feather

About Emaad Qureshi