| The Mazu Business Pack makes some pretty | | | | price. An asset with a known price in |
| grandiose claims. They claim that, by | | | | the future does not today trade at its |
| purchasing their training package, one | | | | future price discounted at the risk-free |
| can make $100 to $1000's per week in | | | | interest rate (or, the asset does not |
| passive, residual income without having | | | | have negligible costs of storage; as |
| to sell anything. It sounds almost too | | | | such, for example, this condition holds |
| good to be true, but is it? | | | | for grain but not for securities). |
| Included in the $297 Mazu Business | | | | For example, if you can buy items at one |
| Package is: an overview DVD, | | | | price at a factory outlet and sell them |
| downloadable step-by-step instructions, | | | | for a higher price on an internet |
| access to the Mazu "member's area", a | | | | auction website such as eBay, you can |
| 2-hour affiliate seminar on audio cd, | | | | exploit the imbalance between those two |
| and entry into the Mazu affiliate | | | | markets for those items. |
| program. According to the company | | | | According to the encyclopedia, arbitrage |
| website, this package gives the user | | | | transactions in modern securities |
| information about 10 of the most | | | | markets do involve fairly low risks. The |
| lucrative income streams available | | | | key is being able to identify these |
| today. | | | | imbalances quickly and execute the trade |
| One of these incomes streams is | | | | before the market shifts. This can be |
| arbitrage. According to Wikipedia (an | | | | challenging and nearly impossible for |
| online encyclopedia), arbitrage is | | | | the novice, but according to Matt |
| defined as: the practice of taking | | | | Gagnon, the founder of Mazu, his |
| advantage of a state of imbalance | | | | software makes it possible. It is an |
| between two or more markets: a | | | | automated program, which checks every |
| combination of matching deals is struck | | | | few seconds for arbitrages around the |
| that exploit the imbalance, the profit | | | | world. When an arb is found a bell goes |
| being the difference between the market | | | | off, and the user then places their |
| prices. The term is mainly applied to | | | | arbitrage. |
| trading in financial instruments, such | | | | Arbitrage is one of the reported 10 |
| as bonds, stocks, derivatives and | | | | income streams included in the pack. Not |
| currencies. Arbitrage is possible when | | | | all of streams are revealed on the |
| one of three conditions is met: | | | | website, but they claim that the others |
| The same asset does not trade at the | | | | are also quite valid and lucrative. Mazu |
| same price on all markets ("the law of | | | | also offers a full refund if the |
| one price"). Two assets with identical | | | | purchaser does not make money in the |
| cash flows do not trade at the same | | | | first thirty days. |