HomeDefinitionsCompareDebt Arbitrage bondsThe financial definition for Arbitrage bonds:Municipality issued bonds issued intended to gain an interest rate advantage by refunding a higher-rate bond in ahead of their call date. Lower-rate refunding issue proceeds are invested in Treasuries until the first call date of the higher-rate issue. Similar MatchesArbitrage free option pricing modelsArbitrage free option pricing modelsYield curve option-pricing models. Arbitrage Trading Program (ATP)Arbitrage Trading Program (ATP)See: Program trading. ArbitrageurArbitrageurOne who profits from the differences in price when the same, or extremely similar, security, currency, or commodity is traded on two or more markets. The Arbitrageur profits by simultaneously purchasing and selling these securities to take advantage of pricing differentials (spreads) created by market conditions. See: Risk arbitrage, convertible arbitrage, index arbitrage, and international arbitrage. Further SuggestionsConvertible ArbitrageCovered interest arbitrage Currency arbitrage Discount Arbitrage Index arbitrage International arbitrage Locational arbitrage Click to compare definitions of Arbitrage bonds Click to view definitions beginning ar |