4 ms·
While amusing as hell, the answer to the question posed by that XKCD is 'yes'. It's trivial to give away arbitrage opportunities, so the average expected loss
by Majromax 7y ago
While amusing as hell, the answer to the question posed by that XKCD is 'yes'. It's trivial to give away arbitrage opportunities, so the average expected loss – especially net of transaction fees – can be substantial.
- titanomachy 7y agoThat can't be done just by buying shares at market price, right? Would require some combination of options or short sells. Or setting stops on a highly volatile stock in a way that basically guarantees you lose money.
- Majromax 7y agoGiven buy/sell spreads, you can lose arbitrary amounts of money simply by buying and selling the same stock hundreds of times.