Merger Arbitrage Strategies – Part 2 of 2

      Merger Arbitrage Strategies – Part 2 of a 2 Part Series   Active or Passive Strategies The arbitrageur can generate returns either actively or passively.  Active arbitrageurs purchase enough stock in the target to control the outcome of the merger.  These activist investors initiate sales processes or hold back support from ongoing mergers in

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Merger Arbitrage Strategies – Part 1 of 2

      Merger Arbitrage Strategies – Part 1 of a 2 Part Series   Merger arbitrage, otherwise known as “risk arbitrage,” is an investment strategy that primarily focuses on mergers and acquisitions (M&A) and capturing the spreads on announced deals. This strategy falls within the category of event-driven investing, which exploits inefficiencies that can

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