Simple English definitions for legal terms
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Time arbitrage is when someone buys something now and sells it in the future for a higher price. This is often done with stocks or commodities. The hope is to make a profit from the difference in prices between when they bought it and when they sell it. It's like buying a toy on sale and then selling it for more money when it's no longer on sale.
Time arbitrage is a type of arbitrage where an investor buys a commodity or security in the present and sells it for future delivery. The hope is to profit from the difference in prices between the present and future delivery.
These examples illustrate how time arbitrage works. By buying a commodity or security in the present and selling it for future delivery, investors and farmers can take advantage of the difference in prices and make a profit.