Title | : | Note on Risk Arbitrage |
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Author | : | Chris K. Anderson & Aravind Suni |
Release | : | 2011-10-11 |
Kind | : | ebook |
Genre | : | Business & Personal Finance, Books, Finance |
Size | : | 5479823 |
This note introduces the concept of risk or merger arbitrage. Risk arbitrage is an investing method that attempts to capitalize on announced transactions pertaining to mergers, spin-off, takeovers, liquidations and corporate restructuring. The arbitrageur attempts to create riskless profit by simultaneous purchase and/or sales of assets that are part of the announced transaction. In the note we outline the basics types of deals and methods to evaluate their profitability. |