Arbitrage Return Calculation
See how arbitrage funds work: buy stock, sell future, capture the spread with margin.
Arbitrage Return Calculation
| Starting Price | Ending Price | Gain / Loss | Capital Deployed | |
|---|---|---|---|---|
| Buy Stock | 1500 | 1500 | 0 | 1500.00 |
| Sell Future | 1510 | 1500 | 10 | 188.75 |
| Total | 10 | 1688.75 |
Monthly Return: 0.59%
Annualised Return: 7.34%
Gain / Loss (Rs.)
About this calculator
Cash Futures Arbitrage • Debt
Arbitrage funds typically exploit price differences between the cash market and the futures market for the same security.
This calculator illustrates a cash-futures trade and the resulting return based on the spread and margin/capital deployed.
How to use
- Enter the cash buy price and the futures sell price, and the closing prices.
- Set the margin/capital assumptions to understand deployed capital.
- Review monthly vs annualised return to compare to other low-risk alternatives.
Key assumptions
- Illustrative example only; real-world arbitrage returns depend on execution, costs, and market conditions.
- Taxes, brokerage, and slippages are not explicitly modeled unless captured via inputs.
