A common hedge fund strategy known as long-short equity is a type of arbitrage strategy.

Name: A common hedge fund strategy known as long-short equity is a type of arbitrage strategy.
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Long-short equity is not primarily an arbitrage strategy; it involves taking long positions in undervalued stocks and short positions in overvalued stocks, aiming to profit from both, rather than exploiting price differences of the same asset in different markets, which is typical of arbitrage strategies.

A Common Hedge Fund Strategy Known as Long-Short Equity Is