| Volatility |
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A
measure of risk based on the standard deviation of investment fund
performance over 3 years. Scale is 1-9; higher rating indicates higher
risk.
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.
|
 |
A
highly volatile market means that prices have huge swings in very
short-periods of time. |
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Dictionary
