Arbitrage is trading that exploits the tiny differences in price between identical or similar assets in two or more markets. What Is Factor Investing?Arbitrage is the act of exploiting price differences within the financial markets to make a profit. Discover tips and strategies for arbitrage trading here. How Does Arbitrage Contribute to Market Efficiency? What Are the Most Common Pitfalls in Arbitrage Trading for Beginners? Airbnb rental arbitrage is the act of renting a property longterm and then rerenting it shortterm on vacation rental sites like Airbnb or Vrbo. Arbitrage is the act of taking advantage of a price difference in two different markets.