Limits to arbitrage

id: limits-to-arbitrage-292-16084715
title: Limits to arbitrage
text: Limits to arbitrage is a theory in financial economics that, due to restrictions that are placed on funds that would ordinarily be used by rational traders to arbitrage away pricing inefficiencies, prices may remain in a non-equilibrium state for protracted periods of time. The efficient-market hypothesis assumes that whenever mispricing of a publicly traded stock occurs, an opportunity for low-risk profit is created for rational traders. The low-risk profit opportunity exists through the tool o
brand slug: wiki
category slug: encyclopedia
description:
original url: https://en.wikipedia.org/wiki/Limits_to_arbitrage
date created:
date modified: 2021-05-09T20:02:47Z
main entity: {"identifier":"Q17141886","url":"https://www.wikidata.org/entity/Q17141886"}
image:
fields total: 13
integrity: 13

Related Entries

Explore Next Part