Archive for October, 2009


Does anyone practice freelance arbitrage as an individual, or do you have to at least have some partners?

It seems like you’d have to have massive resources to actually make a meaningful profit.
Arbitrage is an anomaly in the market place that will allow you to make money without using your own money.
The problem is that since we are in a market economy, the theory is that market forces will dictate that arbitrages are [...]

Read More...

Do you know about arbitrage trading?

Is it better than e-currency trading? Anyone that have actually done this arbitrage trading please let me know. And how profitable it is.
If you are in the United States DO NOT DO currency trading in any form except through a regulated futures market!!!!!!!
EVER!!!!!!!!
Arbitrage trading is buying a guaranteed mistake. For example, imagine IBM and [...]

Read More...

the deifintions of hedging,speculation and arbitrage?

Hello, I am very new to all the financial terms and can’t see clearly the differecnes between hedging, speculation and arbitrage.
so would you give me clear distinctions between these things and few examples?
Thanks and Happy New Year!
Hedging is reducing the risk of a portfolio of investments by incorporating assets that are not perfectly correlated with [...]

Read More...

Money, Banking?

I just stuck this question
supopose that the future index for s&p 500 delivery one year from now is selling for $ 960.000, whereas the stocka are selling for $900.000. If the one year Treasurey bill rate is %5 , is it possible to use index arbitrage to make a profit?
If you buy the stock now [...]

Read More...

Sports Arbitrage Trading is a risk-free strategy of sports betting. Is it legal to do this with US bookies?

I’m aware of a company based in Ireland but none of the bookies they do business with is in the US. I am convinced that risk-free (you win every bet)sports betting is possible if one is not too greedy. The idea is to earn small daily net profits and let them compound over a [...]

Read More...

How to reduce my brokerage?

I am share trader on BSE/NSE(india) in F&O segment largely. Its been long time doing so. Now I am feeling pinch of higher brokerage, Currently its about 0.015 Paise/Rs.100. And I wanted this brokerage to bring down to 0.005 Paise/Rs.100. I also want to start Arbitrage trading. Plz suggest..
Believe me BOSS, both of the biggest [...]

Read More...

Is anyone currently using sports arbitrage with WTS Investments, or heard of their director Allan Davenport?

They have changed the system slightly.
this is a good question. I am signed up – have been for 6 months. Can I ask why?
They changed the system recently whereas they don’t use TopSport. Not sure if this whole scheme is for real – time will tell. Don’t go into this if [...]

Read More...

Does this news article about textbook piracy make any sense?

A textbook case of piracy
By Alex Beam
Globe Columnist / September 9, 2008
I was heartened to learn that college kids are wielding the same Internet piracy tools they used to bring down the recording industry to download textbooks. Although the textbook oligopolists are fighting back mightily – the Association of American Publishers uses Covington & Burling, [...]

Read More...

Basically, what is the difference between Leverage and Arbitrage?

Thanks!
Leverage is using a base capital to borrow on margin. So in fact, one futures contract of the Nasdaq100 (NQ), allows one to borrow 20x the actual price of the index so if the Nasdaq’s quoted at $2500, you’re actually managing a position of $50K with a single leveraged position. Then, small moves equal either [...]

Read More...

Q1.Give some examples of arbitrage in the past decade?

Arbitrage -in the 1980’s. Bankers used leverage buyouts as a tool for arbitrage. These tools were called "deals." The deals were between 100 million-10 billion. Their effect was by finance to transfer ownership of corporations.
Q2. Can anybody suggest contempory leverage/arbitrage transactions that are on a smaller scale than 100 million-10 billion? Here is an [...]

Read More...