How Tender Offers Work
How Tender Offers Work – What Traders Need to Know
What is a Tender Offer? In order to explain how tender offers work we shall begin with a brief description. A tender offer is a…
Merger Arbitrage Trading Strategy and Analysis
The Merger Arbitrage Trading Strategy and Analysis category is a group of articles by MergerArbitrageLimited.com. These articles provide the reader with a series of guides detailing How to Profit from merger arbitrage. Therefore, the information and knowledge available in this section is complementary to our spread tracker analysis. This is a current list of merger arbitrage investment opportunities subject to our customized filter.
This series of articles begins with entry level publications explaining key elements of merger arbitrage. Then we progress to more complex analysis of how to incorporate options into the strategy. Along the way, there are supplementary guides such as how to use the trader workstation functionality from Interactive Brokers. This enables to trader practically employ the strategy techniques. As a more general overview, we have our ever popular 10 merger arbitrage myths.
A List of Event Driven Hedge Funds
A List of Event Driven Hedge Funds
A List of Event Driven Hedge Funds Information such as a list of event driven hedge funds or investment funds can be difficult to obtain. Lists of…
Proxy Advisory Firms and Merger Arbitrage
Proxy Advisory Firm and Merger Arbitrage
What is a Proxy Advisory Firm? A Proxy Advisory Firm is a business primarily involved in providing shareholder services to institutional clients. According to The…
Hostile Takeovers - 7 Things All Traders Should Know
Hostile Takeovers and Merger Arbitrage – What All Traders Should Know
Hostile takeovers and merger arbitrage are a natural fit. The disagreement between the parties allows for greater profit potential although at the expense of greater risk. In this article, we answer some of the key questions traders have regarding hostile bid situations and how a merger arbitrage investment strategy can be implemented.
Hart Scott Rodino (HSR) Filing
Hart Scott Rodino HSR Filing – What All Traders Should Know!
One of the most important facets of merger arbitrage trading is the understanding of the regulatory landscape. A combination of Federal, State or even Local regulations is the largest cause of deal failure. The HSR act is an extremely important piece of legislation covering antitrust and competition law. Even if a merger/takeover if allowed to proceed, delays in regulatory approval may render the investment a losing proposition. It is imperative merger arbitrage traders are aware of these timelines and how they can affect profitability.
Merger Arbitrage and Interest Rates - A Guide to Enhancing Profitability
Merger Arbitrage and Interest Rates – A Guide to Enhancing Profitability
The interactions between merger arbitrage and interest rates. Extending John Paulson's introduction traders learn how to enhance performance & profitability
The Differences Between Mergers and Acquisitions Explained
The Differences Between Mergers and Acquisitions – Examples & Explanations
Event driven investment strategies often focus on the eventual outcome of the corporate action. However, it is important to understand the differences between mergers and acquisitions and how these corporate events both overlap and differ in order to profit from merger arbitrage.
Event Driven Investment Strategies
Event Driven Investment Strategies
When companies join together or collaborate the two most common procedures are to undertake either a merger or acquisition. Event driven investment strategies often focus on the eventual outcome of the corporate action. However, it is important to understand the differences between mergers and acquisitions and how these corporate events both overlap and differ in order to profit from merger arbitrage.
Merger Arbitrage with Interactive Brokers
Trading Merger Arbitrage with Interactive Brokers – A Practical Guide
This practical guide to Trading Merger Arbitrage with Interactive Brokers takes the reader through a detailed step by step explanation of the “do’s” and “don’ts” in merger arbitrage trade execution. We show the trader how to open a position in a merger arbitrage stock in your Interactive Brokers trading account. We show examples of using the merger arbitrage window and list the commissions and fees payable. The discussion concludes with how to easily avoid the pitfalls of uninformed trading.
How to Profit from Merger Arbitrage Trading
How to Profit from Merger Arbitrage Trading
This perennial investment strategy has been a mainstay of hedge funds and event driven investment managers since the takeover boom that started in the 1970’s. Yet it has continued to intrigue and inspire traders and investors ever since. Like most investing, arbitraging can be as difficult or as simple as you want it to be. But unlike traditional investing, merger arbitrage has a binary outcome. The values of which can be calculated in advance. It’s up to the arbitrageur to assign a risk to these outcomes.
Options Trading
How to use Options in Merger Arbitrage Investment Strategies
Using Options in Merger Arbitrage to alter the risk reward profile creates a myriad of possibilities to enhance trading performance in merger arbitrage. This article focuses on the reasons why and how to use options within this event driven strategy and the choices available to achieve those goals. In addition, this article also explains the drawbacks and risks of each strategy enhancement.
Merger Arbitrage Myths
Top 10 Biggest Merger Arbitrage Myths: What All Traders Need to Know!
Merger arbitrage CAN be a reasonably straightforward alternative event driven investment strategy and provide many profitable opportunities. But, there are already a large number of players in the crowded risk arbitrage field. This encourages the creation of numerous information sources covering education, research and trading. Read on to learn the how’s, why’s and why not’s of merger arbitrage’s 10 biggest myths.
Hidden Risk In Merger Arbitrage – Deal Extension Risk
Hidden Risk In Merger Arbitrage – Deal Extension
The principal risk associated with a merger arbitrage (risk arbitrage) strategy is the risk of deal failure. But how many traders are aware of ANOTHER important risk element? Deal Extension risk, sometimes referred to as Delayed Deal Completion Risk is also present. The length of time a deal takes to complete can have a dramatic effect on the annualised returns of this strategy.
Merger Arbitrage ETF Review
IQ Merger Arbitrage ETF Review
How effective is the IQ Merger Arbitrage ETF? How much do you know about its rival product the ProShares Merger Arbitrage ETF? Have you ever seen an independent critical review of these ETF’s from the point of view of a trader? You may be aware of these products, but read Merger Arbitrage Limited’s Merger Arbitrage ETF Review to find out more.
