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Finance > Index Arbitrage
The following information is about Index Arbitrage.
Index Arbitrage Defined
An investment/trading strategy that exploits divergences between actual and theoretical futures prices. An example is the simultaneous buying (selling) of stock index futures (i.e., S&P 500) while selling (buying) the underlying stocks of that index, capturing as profit the temporarily inflated basis between these two baskets. Often, the point at which profitability exists is expressed at the block call as the number of points the future must be over or under the underlying basket for an arbitrage opportunity to exist. See: Program trading.
This definition is in context to Finance. See more contextual defintions for Index Arbitrage.
If There's Something Weird and it Don't Look Good, Who ya gonna Call? GHOSTBUSTERS!
Published August 29, 2008, 12:28 pm, Kitco.com
Preface: Many of you have recently read various articles on various websites, and in various forums, written in the wake of the spectacular plunge in gold and silver prices over the last month.
Day one: 70,000 currency contracts traded on NSE
Published August 29, 2008, 11:29 am, The Hindu
Nearly 70,000 currency contracts were traded on the National Stock Exchange on Friday, the first day of trading in currency futures, which was inaugurated by the Union Finance Minister, Mr P. Chidambaram.
TD Bank Financial Group Reports Third Quarter 2008 Results; Raises Dividend
Published August 28, 2008, 4:30 am, PR Newswire via Yahoo! Finance
Reported diluted earnings per share were $1.21, compared with
Premiums on corporate bond issuers at new peaks
Published August 26, 2008, 12:20 pm, FT.com via Yahoo! News
The US corporate bond market has hit a new milestone as the credit crunch spreads the pain across the economy.
(AFX UK Focus) 2008-08-26 11:04 Milan shares lower on Europe economy concerns; dollar stocks higher
Published August 26, 2008, 3:29 am, Interactive Investor
MILAN (Thomson Financial) - Share prices were lower late morning on Tuesday on concerns over worsening economic conditions in Europe, with banks and oil stocks leading the decline, while Luxottica and other dollar stocks were underpinned by a stronger dollar.
8/24/2008 8:16:00 AM Barron's Profile: Few Homers, Lots of Hits
Published August 24, 2008, 6:28 am, CattleNetwork.com
" If you try to hit too many home runs, you also tend to strike out more often ," says Praveen Gottipalli. A childhood Philadelphia Phillies fan, he's now director of equity investments for Symphony Asset Management, which runs a big lineup of hedging strategies.
Action shifts from futures to options
Published August 23, 2008, 11:32 am, The Hindu
Chennai, Aug. 23 An interesting shift is taking place in the trading pattern in the derivatives segment of the National Stock Exchange (NSE). Volume in index options has increased sharply while the trading interest in the riskier stock futures is on the wane.
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Off-site Index Arbitrage Links, User Submitted
The following links have been collected through user bookmark submission in the Index Arbitrage category. Please note, because these resources are off-site we cannot guarantee the accuracy or quality of any information.
Sun Apr 6
Thu Dec 6
- Program Trading, Fair Value, Index Arbitrage Values - indexArb.com: Symbol Hubert uses in TradeStation is ESINX. The symbol the web site refers to is PREM, $PREM.
Wed May 31
- Instinet for index arbitrage: PR: 'Instinet , a global agency broker, today announced the addition of list trading functionality to Instinet Trading Portal, a global front end for block and active traders.'
Fri Mar 31
- SureBetBookies - The Sportsbook Information Database: A comprehensive Sportsbook database with every detail you could need for sportsbook selection
Tue May 10
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