Note on Risk Arbitrage - Chris K. Anderson & Aravind Suni

By Chris K. Anderson & Aravind Suni

Release Date: 2011-10-11

Genre: Business & Personal Finance

(0 ratings)
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.

Note on Risk Arbitrage - Chris K. Anderson & Aravind Suni

By Chris K. Anderson & Aravind Suni

Release Date: 2011-10-11

Genre: Business & Personal Finance

(0 ratings)
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.

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