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You buy when the trust is at a larger discount than normal in a bear market or look for trusts where there is corporate action going on and the shares will be r
by C1sc0cat 7y ago
You buy when the trust is at a larger discount than normal in a bear market or look for trusts where there is corporate action going on and the shares will be rerated or trust will be wound up.
You presumably could short a quoted trust or us CFDs or buy warrants but that's a bit rich for me.
- OldManAndTheCpp 7y agoThat is not what is traditionally referred to as arbitrage. You are betting on an unknown variable (correct discount), not noticing pricing for the same asset being different in the same moment. Arbitrage is “sugar being sold at $2 at shop A, and bought at $3 at shop B, and the shops are next to one another”