Arbitrage information...

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8/21/08
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Searched and Cannot find anything on here about it.

So I am currently an Economics and Mathematics major in Canada. Have traded FX spot for about 4 years now, and I am looking to setup a fund.

Problem is that I am starting small (100k in first year, 1mill within 3) and I want to move into FX Forward/Swap arbitrage as well as fixed income arbitrage (LTCM 30y bond style). Basically was told that 1mill is 1/100th of what I need to do said arbitrage. Can anyone confirm this? Currently working on the business plan and want to know if I need to tackle this a different way.

I understand that the arbitrage is always small (~3bps a trade) but still figured that that would be somewhat significant for a 1mill account. I know full well that I can raise the 1mill (will not be easy, but I have a strategy for it), but no so sure about larger amounts.

Email me at FXopttrdr (at) gmail.com if you have any information that could help me.

Thanks,

-Patrick
 
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