In Hedge Funds
Some hedge funds engage principally in arbitrage strategies in the global equity and corporate debt markets by taking advantage of mispricings between two related and often correlated securities. Typical arbitrage strategies include: fixed income arbitrage, convertible bond arbitrage, statistical arbitrage, and derivative arbitrage.
Read more about this topic: Relative Value (economics)
Famous quotes containing the word hedge:
“There’s such divinity doth hedge a king
That treason can but peep to what it would,
Acts little of his will.”
—William Shakespeare (1564–1616)