Risk arbitrage also called merger arbitrage trading; it refers to an event mediated hypothetical trading method. It tries to produce profits by taking a long position in the stock of a target company, and optionally merging it with a brief position in stock of an attaining company to produce a verge.
Riskless arbitrage includes taking merit of interest rate differentials by involving in a spot transaction today to sell/buy foreign currency, and at the same time involving in a purchase/sale of foreign currency for a particular time in the future.
Divergent boundary.
This is the boundary between two tectonic plates move away from each other in opposite directions.
Explanation:
One major example of a divergent boundary is the mid-Atlantic ridge that cuts, longitudinally, across the middle of the Atlantic ocean.
When two tectonic plates move away from each other in opposite directions, the void they leave in between is filled by rising magma from the mantle and cooling to create new crust. A mountainous ridge along a boundary is evidence of a divergent boundary. The Atlantic ocean will therefore continue to widen as the North American and Eurasian Plates move away from each other. As new crust is formed at divergent boundary, old crust is being consumed at convergent boundary on another end of earth. This way tectonic plates of earth renew themselves.
Learn More:
brainly.com/question/12655537
#LearnWithBrainly
