Profiting from the pricing inefficiency between

the stock and bond of a company is known as capital structure arbitrage. When you extend this from a company to the entire country’s economy, you have the arbitrage between stock market and bond market.

There are three kind of arbitrage: pure arbitrage, near arbitrage, and speculative arbitrage. The kind of arbitrage we are talking about here belongs to the third kind, the speculative arbitrage. The are people who think only the pure arbitrage should be called arbitrage. But that’s just a matter of semantics.

 

所有跟帖： 

• Capital structure arbitrage is not a strategy to benefit from pr -autumnjune- ♀ (426 bytes) () 02/04/2018 postreply 08:17:06

• 春妹想说的是arbitrage between stock market and treasury market -slow_quick- ♂ (0 bytes) () 02/04/2018 postreply 10:27:00

• 对， 我知道。 -autumnjune- ♀ (158 bytes) () 02/04/2018 postreply 10:43:38

• Capital structure arbitrage strategy between S&P 500的equity and -大观园的贾探春- ♀ (265 bytes) () 02/04/2018 postreply 11:01:31

• 我们一般分清equity, interest rate, credit。你原文说的是fed policy, 与interest -slow_quick- ♂ (0 bytes) () 02/04/2018 postreply 17:06:56

• 与interest rate关系大些 -slow_quick- ♂ (0 bytes) () 02/04/2018 postreply 17:08:49

• 我只是举例说明capital structure arbitrage的范围很大，不是要直接套用到我前面说的。 -大观园的贾探春- ♀ (0 bytes) () 02/05/2018 postreply 01:35:21