Q61
Which of the following speculative activities is based on disparity in quoted prices in different markets?
A.
Option dealing
B.
Arbitrage
AnswerC.
Margin trading
D.
Blank transfers
Answer: Option B
Solution
Answer: Option B
Solution:
Arbitrage speculative activities is based on disparity in quoted prices in different markets. Arbitrage has the effect of causing prices in different markets to converge.