Definitions
There is 1 meaning of the phrase
Risk Arbitrage.
Risk Arbitrage - as a noun
Arbitrage involving risk; as in the simultaneous purchase of stock in a target company and sale of stock in its potential acquirer; if the takeover fails the arbitrageur may lose a great deal of money
Synonyms (Exact Relations)
takeover arbitrageExample Sentences
"Hedge funds often engage in risk arbitrage to profit from price discrepancies."
"Successful risk arbitrage requires careful analysis of market conditions."
"Investors must assess the potential risks before entering into risk arbitrage trades."
"Many investment bankers specialize in risk arbitrage strategies."
"Some investors use risk arbitrage to exploit mispriced securities."
