Arbitrage is as old as the profession of trading. Even in a bartering economy, arbitrage existed. But why do they exist?
In this era of competitiveness in financial studies, opting for empirical research without backtesting overfitting is quite a chore. Read our article to avoid overfitting in your research.
Cash and Carry Arbitrage is an arbitrage strategy that is market neutral. Here is a gentle introduction.
It is important to get the optimal position sizing in Trading. Here is a consideration on Kelly Criterion application to Options Trading.