In finance, volatility is a measure for variation of price of a financial instrument over time. Historic volatility is derived from time series of past market prices. An implied volatility is derived from the market price of a market traded derivative (in particular an option). The symbol σ is used for volatility, and corresponds to standard deviation, which should not be confused with the similarly named variance, which is instead the square, σ2.
Read more about Volatility (finance): Volatility Terminology, Volatility and Liquidity, Volatility For Investors, Volatility Versus Direction, Volatility Over Time, Mathematical Definition, Crude Volatility Estimation, Estimate of Compound Annual Growth Rate (CAGR), Criticisms of Volatility Forecasting Models, Volatility Hedge Funds, See Also
Other articles related to "finance, volatility":
... Beta (finance Derivative (finance Financial economics Implied volatilityIVX Risk Standard deviation Stochastic volatilityVolatility arbitrage Volatilitysmile ...