sadavis: What ensures that the price of Microsoft stock on the NYSE is the same as that on Nasdaq? There is a concept?
a concept that ensures price equalization between markets.
it O.K I got it. ARBITRAGE it is called.
Answers and Views:
Answer by whatagal828
Stock can only be traded on one market – could be another sub-company.
MSFT is traded on NASDAQ, NOT on the NYSE. But yeah, you’re thinking of arbitrage. A more realistic example might be something like NIKKEI futures contracts trading on both the Tokyo and Singapore exchanges at the same time.
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