When using ____, funds are not tied up for any length of time
A)covered interest arbitrage
B)locational arbitrage
C)triangular arbitrage
D)B and C

Question

When using ____, funds are not tied up for any length of time​
A)covered interest arbitrage
B)locational arbitrage
C)triangular arbitrage
D)B and C

Quizplus · Accepted Answer

Locational and triangular arbitrage involve taking advantage of price differences in different markets or currencies without the funds being tied up for a significant period. Covered interest arbitrage, on the other hand, involves investing in foreign interest-bearing assets, which ties up funds for the duration of the investment.

When Using ____, Funds Are Not Tied Up for Any