Last Updated on: 14th February 2021, 11:55 pm
In financial markets, the statistical arbitrage is also known as StatArb. In contrast to the simple arbitrage, the traders make the decision to buy or sell based on the mispricing of assets. The traders use mathematical modeling techniques or different trading strategies to identify the price inefficiencies in the market.
Vincent Nyagaka is a Professional Trader, Analyst & Author. He has been actively engaged in market analysis for the past 7 years. He has a monthly readership of 100,000+ traders and has taught over 1,000 students since 2014. Vincent is also an experienced instructor and public speaker. Check out Vincent’s Professional Trading Course here.