New Delhi, Aug. 29 -- Are you among those who feel stressed with the ups and downs of Capital markets? But, what if you could make returns without betting on whether the market goes up or down - this is the core idea of arbitrage funds, a unique category often associated with lower-risk investing or short-term parking of funds.

In a special interview titled 'Understanding Arbitrage Funds: A Smart Option for Volatile Markets', Rukun Tarachandani, Executive Vice President & Fund Manager - Equity, PPFAS Mutual Fund spoke about what exactly these funds are, how do they work, and are they the right fit for your portfolio? Read on to know more.

Simply put, arbitrage is a strategy that leverages on pricing inefficiencies in different markets. ...