“Arbitrage” – User Story Backlog – Catering “Law of One Price”

1. User Story: As a financial analyst, I want to identify potential arbitrage opportunities in the market by analyzing price discrepancies between similar assets, in order to maximize profits for my clients.

Precondition: The system should have access to real-time market data and historical price information for various assets.

Post condition: The system provides a list of potential arbitrage opportunities with detailed information on the assets involved and the potential profit margins.

Potential business benefit: By identifying and exploiting arbitrage opportunities, the company can generate additional revenue and increase its competitive advantage in the market.

Processes impacted: Market analysis, investment decision-making, and trading strategies.

User Story description: The financial analyst wants to leverage the Law of One Price to identify potential arbitrage opportunities. The system should analyze price discrepancies between similar assets and provide a list of potential trades that can be executed to take advantage of these discrepancies. The analyst can then evaluate the risks and potential profits associated with each opportunity and make informed investment decisions.

Key Roles Involved: Financial analyst, traders, investment managers.

Data Objects description: Real-time market data, historical price information, asset details (such as ticker symbols, asset classes, and market sectors), trading volumes, bid/ask prices.

Key metrics involved: Profit margins, return on investment, trading volumes, transaction costs, market volatility.

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