Arbitrage trading

[csramki]

Hello everybody. Can some body help me understand how to make profits in arbitrage trading in NSE

 

[rds1933]

I would also be interested to learn! If some expert can explain, that wud be very ind of him.

Rajen

 

[rajeshn2007]

Hi,
Arbitrage trading in equities involves lot of capital and virtually zero brokerage(prop trading).
Same is the case with arb. trading involving equities and futures/options- lot of capital. For knowledge sake one can know about it.

 

[rgarg333]

Arbitrage trading - is simply purchasing a security on one exchange (for eg see Akruti closed at 443 on BSE yesterday) and selling it on another exchange (it was trading at 540.20 at NSE at closing time yesterday). Even with brokerage, this would have given a decent profit...

 

[rds1933]

Thanks you indeed, rajeshn2007

 

[rds1933]

Arbitrage trading - is simply purchasing a security on one exchange (for eg see Akruti closed at 443 on BSE yesterday) and selling it on another exchange (it was trading at 540.20 at NSE at closing time yesterday). Even with brokerage, this would have given a decent profit...

Thanks a great deal, sir

Rajen

 

[dhrums]

Thanks a great deal, sir

Rajen

As far I understand I have to square off both position in both the exchange then how would i get benefit of price difference? As mentioned Akruti was @ 443 in BSE and 540.20 in NSE if I buy @ 443 from BSE and sell @ 540.20 @ NSE but at the end of the day I have to square of both the position then how do i get benefir of price difference.

Thanks in advance fro help.

 

[dhrums]

Arbitrage trading - is simply purchasing a security on one exchange (for eg see Akruti closed at 443 on BSE yesterday) and selling it on another exchange (it was trading at 540.20 at NSE at closing time yesterday). Even with brokerage, this would have given a decent profit...

As far I understand I have to square off both position in both the exchange then how would i get benefit of price difference? As mentioned Akruti was @ 443 in BSE and 540.20 in NSE if I buy @ 443 from BSE and sell @ 540.20 @ NSE but at the end of the day I have to square of both the position then how do i get benefit of price difference?

Thanks in advance fro help.