0 a person who makes money from arbitrage --
1 someone who buys something, such as shares or currency, in one place and sells them in another where they can get a higher price at the same time: --
After accounting for these risk premia, the researchers demonstrated that small residual arbitrage profits accrue only to those arbitrageurs capable of negotiating low transaction costs.
Traders and arbitrageurs are often credited with seeding markets with more competitive prices than would be present without them.
In the event of a bad news, the value of the asset falls along with the wealth of the arbitrageur.
Leverage allows arbitrageurs to take on significantly more positions.
It is important to note that the arbitrageurs access to external capital is not only limited but also depends on their wealth.
An arbitrageur may then short sell the acquirer and buy the stock of the target.
A capital-structure arbitrageur seeks opportunities created by differential pricing of various instruments issued by one corporation.
An arbitrageur who is financially constrained, in other words, has exhausted his ability to borrow externally, becomes vulnerable in an economic downturn.
