• Overpriced Futures: If the futures price is significantly higher than the theoretical fair value, an arbitrageur can: 1. Sell the overpriced futures contract. 2. Buy the underlying index (or a replicating portfolio of its stocks). 3. Hold the index until the futures contract expires. 4. At expiration, the futures price will converge with the spot price, allowing the arbitrageur ... https://topcollegesadmission.in/college-list/dpharma/pune