Main Entry: ar·bi·trage Pronunciation: 'är-b&-"träzh Function: noun Etymology: French, literally, arbitration, decision-making 1 : the purchase of a security, commodity, or foreign currency in one market for the purpose of immediately selling it at a higher price in another market 2 : the purchase of the stock of a takeover target esp. for the purpose of selling it to the raider for a profit
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