Frankfurt EUR/GBP =1.7100/1.7150.
In the Frankfurt market, 1 GBP =11.7150 Euro.
In new york and London markets, 1 GBP =11.6 Euro.
It can be concluded that the prices in new york and London are higher, so it is concluded that the pound should be sold in one of these two markets.
Process: sell pounds and buy dollars in the London market.
Sell dollars and buy euros in new york market.
Sell euros and buy pounds in Frankfurt market.
Profit =100 w *1.715/1.6-100 w
Meanwhile, the spot exchange rates in the foreign exchange markets in London, Frankfurt and new york are as follows:
London USD/GBP 1.4300/ 1.4350
Frankfurt EUR/GBP 1.7 100
New york Euro/USD1.1100/1.150.