Arbitrage is the simultaneous purchase and sale of the same asset in different markets in order to profit from a difference in its price. The act of buying and selling goods simultaneously in different markets to gain an immediate profit.Impressive, but tricky. Mr. Boesky brought an aggressive style to the once-sleepy world of arbitrage, the buying and selling of stocks in companies that appear to be takeover targets. Arbitrage is when an asset (stocks, currencies, etc.) is bought in one market and sold in another for a higher price. An arbitrage is a transaction that involves no negative cash flow at any probabilistic or temporal state and a positive cash flow in at least one state. In finance, arbitrage is the activity of buying shares or currency in one financial market and selling it at a profit in another. Synonyms for ALAMEDA: allée, walkway, arcade, colonnade, mall, promenade, plaza, galleria, boardwalk, gallery.