套利

tàolì

verb

Meanings

HSK 5

对冲基金在不同市场之间进行套利。

Duìchōng jījīn zài bùtóng shìchǎng zhījiān jìnxíng tàolì.

Hedge funds carry out arbitrage across different markets.

HSK 5

随着市场效率提高，套利空间越来越小。

Suízhe shìchǎng xiàolǜ tígāo, tàolì kōngjiān yuèláiyuè xiǎo.

As market efficiency improves, arbitrage opportunities are shrinking.

memory

套 'to lock in / to harness' + 利 'profit' = locking in a profit. Compare 套现 (to cash out), same 套 of 'extracting value through a clever maneuver'.

套 tào

利 lì