2 Case Studies in Arbitrage

norberts gambit tdThis one time, I tried to arbitrage used video games for new video games, but I ended up wasting $40 and got stuck with 20 useless¬†Xbox 360 games no one wanted. Recently, I arbitraged Royal Bank stock in a move called Norbert’s Gambit and converted $5,072.60 USD for essentially no cost. But that’s an outlier outcome. You usually end up paying $19.98 and the spread between the inter-listed stock. But that’s still a fine deal since you usually pay 2.1% in FX fees. But let me tell you about that time I ended up embarrassingly losing¬†$40 and getting stuck with useless video games instead. Doesn’t that sound funnier?

Continue reading