covered arbitrage
简明释义
抵补套汇
英英释义
例句
1.The concept of covered arbitrage is essential for minimizing risk in currency trading.
在货币交易中,有保障的套利的概念对于降低风险至关重要。
2.By using covered arbitrage, traders can lock in profits regardless of market fluctuations.
通过使用有保障的套利,交易者可以确保利润不受市场波动的影响。
3.Investors often engage in covered arbitrage to capitalize on price discrepancies in different markets.
投资者通常参与有保障的套利以利用不同市场之间的价格差异。
4.A successful covered arbitrage strategy requires thorough market analysis.
成功的有保障的套利策略需要彻底的市场分析。
5.The firm specialized in covered arbitrage to exploit inefficiencies in the stock market.
该公司专注于有保障的套利以利用股票市场中的低效。
作文
In the world of finance, the term covered arbitrage refers to a trading strategy that involves taking advantage of price discrepancies between different markets while minimizing risk. This strategy is particularly relevant in the context of foreign exchange markets, where currencies can be traded at different rates across various platforms. The main goal of covered arbitrage is to secure a profit by simultaneously buying and selling an asset or currency to lock in a favorable price difference.To better understand covered arbitrage, consider an example involving two different currency exchanges. Suppose the exchange rate for converting US dollars (USD) to euros (EUR) is 1 USD = 0.85 EUR on Exchange A, while on Exchange B, the rate is 1 USD = 0.84 EUR. An arbitrageur can exploit this discrepancy by buying euros on Exchange B and selling them on Exchange A. By doing so, they effectively 'cover' their positions, ensuring that they will make a profit regardless of any potential fluctuations in the market.The concept of covered arbitrage is not limited to currency trading; it can also apply to other financial instruments such as stocks, commodities, and bonds. For instance, if a stock is trading at a lower price on one exchange compared to another, a trader can buy the stock on the cheaper exchange and sell it on the more expensive one, thereby realizing a risk-free profit. The key element in covered arbitrage is the simultaneous execution of buy and sell orders, which protects the trader from adverse market movements.One of the critical advantages of covered arbitrage is that it allows traders to capitalize on temporary inefficiencies in the market without exposing themselves to significant risks. Since the trades are executed at the same time, the potential for loss due to sudden price changes is minimized. However, it is important to note that while covered arbitrage can be highly profitable, it requires quick decision-making and access to multiple markets to identify and act on opportunities before they disappear.Moreover, transaction costs can significantly impact the profitability of covered arbitrage. Traders must be mindful of fees associated with buying and selling assets, as these costs can eat into the profits gained from arbitrage opportunities. Therefore, successful arbitrageurs often utilize advanced trading algorithms and high-frequency trading techniques to execute their strategies efficiently and cost-effectively.In conclusion, covered arbitrage is a sophisticated trading strategy that enables investors to profit from price discrepancies across different markets while mitigating risk. By understanding the mechanics behind this approach, traders can enhance their ability to navigate the complexities of financial markets and seize lucrative opportunities. As the financial landscape continues to evolve, the principles of covered arbitrage will remain a fundamental aspect of trading strategies employed by savvy investors worldwide.
在金融领域,短语covered arbitrage指的是一种交易策略,该策略涉及利用不同市场之间的价格差异,同时将风险降到最低。这种策略在外汇市场中尤为相关,因为货币可以在不同的平台上以不同的汇率进行交易。covered arbitrage的主要目标是通过同时买入和卖出资产或货币,锁定有利的价格差异,从而确保盈利。为了更好地理解covered arbitrage,我们可以考虑一个涉及两个不同货币交易所的例子。假设在交易所A,美元(USD)兑换欧元(EUR)的汇率为1 USD = 0.85 EUR,而在交易所B,汇率为1 USD = 0.84 EUR。套利者可以利用这一差异,在交易所B购买欧元,然后在交易所A出售这些欧元。通过这样做,他们有效地“覆盖”了他们的头寸,确保无论市场波动如何,他们都能获利。covered arbitrage的概念并不限于货币交易;它也适用于其他金融工具,如股票、商品和债券。例如,如果一只股票在一个交易所的价格低于另一个交易所,交易者可以在便宜的交易所购买该股票,并在更贵的交易所出售,从而实现无风险的利润。covered arbitrage的关键要素是同时执行买入和卖出订单,这保护了交易者免受不利市场波动的影响。covered arbitrage的一个关键优势是,它允许交易者在不暴露于重大风险的情况下,利用市场中的临时低效性。由于交易是在同一时间执行的,因此由于价格突然变化而导致的损失潜力被最小化。然而,需要注意的是,虽然covered arbitrage可能非常有利可图,但它需要快速决策和对多个市场的访问,以便在机会消失之前识别并采取行动。此外,交易成本可能会显著影响covered arbitrage的盈利能力。交易者必须注意与买入和卖出资产相关的费用,因为这些成本可能会侵蚀套利机会带来的利润。因此,成功的套利者通常会利用先进的交易算法和高频交易技术,以高效且具有成本效益的方式执行他们的策略。总之,covered arbitrage是一种复杂的交易策略,使投资者能够利用不同市场之间的价格差异并降低风险。通过理解这一方法的机制,交易者可以增强其应对金融市场复杂性的能力,抓住有利可图的机会。随着金融环境的不断演变,covered arbitrage的原则将继续成为全球精明投资者采用的交易策略的基本方面。
相关单词