Arbitrage is the simultaneous buying and selling of an instrument to profit from an imbalance of the price.

 

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Volatility smile is a common graph shape that can occur when plotting the strike price and implied volatility of a group of options with the same underlying asset and expiration date. 

 

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Valoren number is an identification number given to a financial instrument in Switzerland. It usually consists of 6 to 9 numbers

 

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