Royal Dutch Shell PLC, is a multinational oil and gas company headquartered in the Netherlands and incorporated in England. Royal Dutch Shell Shares traded on the London Stock Exchange, Euronext Amsterdam (AMS) and the New York Stock Exchange (NYSE). Please only focus on A share for the rest of the questions.

(a) Please demonstrate whether you could make arbitrage profits by trading Royal Dutch Shell shares between AMS and NYSE stock exchanges between 5 Oct and 9 Oct 2020. In your calculation, please show the stock price, relevant conversion ratio, foreign exchange rate, and calculations for these five days. You will also need to report the sources of your data.

(b) Please explain why you were able or were not able to carry out any arbitrage activities between 5 Oct and 9 Oct 2020.

(c) As an Australian investor, which of the three exchanges do you prefer to trade the Royal Dutch Shell shares? And Why?

(d) From the beginning of 2020 to the middle of March 2020, the share price of Royal Dutch Shell PLC fell by more than 50%, and the share price has been staying quite low since then. Do you think that this situation presents a good opportunity for Australian retail investors to invest in Royal Dutch Shell now? Why or why not?