What is Cash-and-Carry Arbitrage?
Cash-and-Carry Arbitrage — Buying the underlying in the cash market and selling its future (or vice versa) to lock in the price gap risk-free.
In simple terms
When futures trade rich to spot, traders do cash-and-carry.
Why Cash-and-Carry Arbitrage matters when you invest
Understanding cash-and-carry arbitrage helps you make better-informed decisions when you invest and trade on ROAR by DP TradeKING. Open a free account to put it into practice — ₹0 delivery brokerage and zero-commission direct mutual funds.
Cash-and-Carry Arbitrage — frequently asked questions
What is Cash-and-Carry Arbitrage?
Buying the underlying in the cash market and selling its future (or vice versa) to lock in the price gap risk-free.
What does Cash-and-Carry Arbitrage mean in the stock market?
Buying the underlying in the cash market and selling its future (or vice versa) to lock in the price gap risk-free. When futures trade rich to spot, traders do cash-and-carry.
Can you give an example of Cash-and-Carry Arbitrage?
When futures trade rich to spot, traders do cash-and-carry.
Put it into practice — open a free account.
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