How Long Does It Take Prices of Securities to Adjust

question 78

Multiple Choice

How long does it take prices of securities to adjust so as to eliminate arbitrage profits?

• A) seconds
• B) hours
• C) days
• D) months

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Definitions:

Spark Passion

To ignite a strong and barely controllable emotion or enthusiasm in someone.

Positive Aspect

A feature or part of something that is advantageous, beneficial, or favorable.

Exclusiveness

The quality of being exclusive; limiting access or availability to a select group, often creating a sense of prestige or privilege.

Extreme Forms

Refers to the most severe or intense version of a condition, phenomenon, or behavior.