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n. The purchase of securities on one market for immediate resale on another market in order to profit from a price discrepancy.
intr.v. ar·bi·traged, ar·bi·trag·ing, ar·bi·trag·es
To be involved in arbitrage. - The simultaneous purchase and selling of an asset in order to profit from a differential in the price. This usually takes place on different exchanges or marketplaces. Also known as a "riskless profit".
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Etymology: French, literally, arbitration, decision-making
1 : the purchase of a security, commodity, or foreign currency in one market for the purpose of immediately selling it at a higher price in another market
From http://www.dictionary.com
