I was wondering if anyone has had any experience with pair-trading or statistical arbitrage. I am interested in it because I have an opportunity to learn from some local traders in my area through an extensive course. In all of the introductory trading books that I have recently read it is not mentioned at all. Nor have seen any statarb books in particular.

The only things I have read about it are the wiki entries and other brief summaries. I was hoping someone had more experience in this. I became very interested when reading about a trader who posts on trade2win (a trading forum with a pretty bad signal:noise ratio, like all forums), grey1 (iraj), who said he liked arbitrage methods and was very successful. His posts were inspiring to say the least. My interest in statarb is not to use institutional money to trade, but just to use my own money.

Thank you in advance for your replies.