Simultaneous purchase and sale of the same stock in two different markets is known as ______________.
A
basket trading
Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses
B
badla
No worries! We‘ve got your back. Try BYJU‘S free classes today!
C
arbitrage
No worries! We‘ve got your back. Try BYJU‘S free classes today!
D
margin trading
No worries! We‘ve got your back. Try BYJU‘S free classes today!
Open in App
Solution
The correct option is C basket trading A basket trade is an order to buy or sell a group of securities simultaneously. Basket trading is essential for institutional investors and investment funds who wish to hold a large number of securities in certain proportions.