Arbitrage is the simultaneous purchase and sale of the same asset in different markets in order to profit from a difference in its price. Arbitrage is the process of simultaneously buying and selling the same asset or security in different markets to take advantage of price discrepancies.Arbitrage can be defined as the concurrent purchase and sale of similar assets in different markets in order to take advantage of price differentials. Arbitrage involves buying an asset in one market at a lower price and simultaneously selling it in another market at a higher price. Arbitrage is the act of taking advantage of a price difference in two different markets.