check your brokers, if their terms & conditions meet the criteria, for a professional trader (low margin rates!)

clever ones use two brokers, one per leg of the

L.E.A. leveraged ETF

Profit Criteria:

ss > 0

ss x L x ETF > sl x LETF

Yield Criterion:

[ss x L x ETF] - [sl x LETF]

---------------------------------------------- > ymy

[ms x L x ETF] + [ml x LETF]

WARNING: This is only a statistical

For a fully fledged

happy x-mas and a prosperous new year

**40percent per annum**are feasible, as long as the broker allows it ;-)clever ones use two brokers, one per leg of the

**ARB**. Margin reqs rise, but risk of detection goes zeroL.E.A. leveraged ETF

**Arbitrage**Profit Criteria:

ss > 0

ss x L x ETF > sl x LETF

Yield Criterion:

[ss x L x ETF] - [sl x LETF]

---------------------------------------------- > ymy

[ms x L x ETF] + [ml x LETF]

**ss**swap (finance rate) short positions**sl**swap (finance rate) long positions**LETF**a leveraged ETF of your choice, should have an un-leveraged counterpart for replication**L**leverage factor**ETF**the non-leveraged ETF**ms**margin requirement short position**ml**margin requirement long position**ymy**YOUR minimum yieldWARNING: This is only a statistical

**Arbitrage**, ie running above positions your expectation value is (highly) positive but still path dependent. In times of significant trends (up or down) above**Arbitrage**performs perfectly well due to the compounding effect of the leveraged ETF, in times of mere volatility the "death drift" (-0,5 x Variance(LETF)) of the ETF becomes effective.For a fully fledged

**Arbitrage**options have to be added. With options the complete range of potentially realized returns (= Variance Spectrum) can be covered.happy x-mas and a prosperous new year