DislikedI respectfully disagree with this, mostly academic, understanding of the markets. I would define edge as the ability to profit from the moves in markets in a consistent fashion without regard to the method that was used to arrive at a profit. If you are a large bank that is focused on arbitrage opportunities then you really do need inefficiencies to capture profits. You could also profit by taking trades based on the inefficient pricing of economic fundamentals as it applies to exchange rates. These are areas where the academic interpretation applies*....Ignored
Wow....very intelligent post!!! Very good explanation!!