Dictionary Financial Glossary
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Volatility
Increase in price activity
A measure of risk based on the standard deviation of the asset return. Also, volatility is a variable that appears in option pricing formulas. In the option pricing formula, it denotes the volatility of the underlying asset return from now to the expiration of the option. Some have created volatility indices. Here is an example, scale is 1-9; higher rating indirectly higher risk:
1. In general, volatility is a statistical measure of the tendency of a market or security to rise or fall sharply within a short period of time. Volatility is typically calculated by using variance or annualized standard deviation of the price or return.
The degree by which share prices in a particular stockmarket or sector go up or down. Usually measured by the movement in a particular index.
A measure of a security"s propensity to go up and down in price.A volatile share is one which has a tendency to move violently through a deep share price range. Mathematically, this is expressed as the standard deviation from the average performance.In general, high volatility means high unpredictability, and therefore greater risk. Numerous attempts have been made to incorporate volatility into pricing models, but the problem has always been that past volatility is not necessarily a good guide to future volatility.Generally speaking, the higher the volatility of a share, the higher the price of option/warrants on the share will be.

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Glossary
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Volatility - Increase in price activity
A measure of risk based on the standard deviation of the asset return. Also, volatility is a variable that appears in option pricing formulas. In the option pricing formula, it denotes the volatility of the underlying asset return from now to the expiration of the option. Some have created volatility indices. Here is an example, scale is 1-9; higher rating indirectly higher risk:
1. In general, volatility is a statistical measure of the tendency of a market or security to rise or fall sharply within a short period of time. Volatility is typically calculated by using variance or annualized standard deviation of the price or return.
The degree by which share prices in a particular stockmarket or sector go up or down. Usually measured by the movement in a particular index.
A measure of a security"s propensity to go up and down in price.A volatile share is one which has a tendency to move violently through a deep share price range. Mathematically, this is expressed as the standard deviation from the average performance.In general, high volatility means high unpredictability, and therefore greater risk. Numerous attempts have been made to incorporate volatility into pricing models, but the problem has always been that past volatility is not necessarily a good guide to future volatility.Generally speaking, the higher the volatility of a share, the higher the price of option/warrants on the share will be.
Volatility : increase in price activity
a measure of risk based on the standard deviation of the asset return. also, volatility is a variable that appears in option pricing formulas. in the option pricing formula, it denotes the volatility of the underlying asset return from now to the expiration of the option. some have created volatility indices. here is an example, scale is 1-9; higher rating indirectly higher risk:
1. in general, volatility is a statistical measure of the tendency of a market or security to rise or fall sharply within a short period of time. volatility is typically calculated by using variance or annualized standard deviation of the price or return.
the degree by which share prices in a particular stockmarket or sector go up or down. usually measured by the movement in a particular index.
a measure of a security"s propensity to go up and down in price.a volatile share is one which has a tendency to move violently through a deep share price range. mathematically, this is expressed as the standard deviation from the average performance.in general, high volatility means high unpredictability, and therefore greater risk. numerous attempts have been made to incorporate volatility into pricing models, but the problem has always been that past volatility is not necessarily a good guide to future volatility.generally speaking, the higher the volatility of a share, the higher the price of option/warrants on the share will be.