Which of the following limits the ability of arbitrage to correct anomalies()
A. Arbitrage is a relatively riskless activity, which has led to consistently reduced profits for many arbitrageurs, thereby reducing their interest in correcting market anomalies.
B. There is no guarantee that even correctly identified relative mispricing of similar stocks will be corrected in the near term.
C. Arbitrageurs are sophisticated traders but their short supply precludes the correction of market anomalies.
参考答案:B
解析:
There is no guarantee that even correctly identified relative mispricings of similar stocks will be corrected in the near term. Investors of the funds that arbitrageurs and traders use can be notoriously impatient, removing funds when trades go against them or if results are not consistently good. Since capital is limited, in periods where there are many apparent mispricing, arbitrageurs will direct capital only to pursue the most attractive trades, leaving other mispricings unexploited.