Asked by Shauna Shirk on Apr 26, 2024
Verified
The standard deviation is a measure of volatility.
Standard Deviation
Standard deviation is a statistical measure of the dispersion or variability of a set of values, indicating how much the values in a dataset vary from the mean.
Measure
A quantitative method or tool used to assess, compare, or track performance or attributes.
Volatility
Volatility denotes the degree of variation of a trading price series over time, often measured by the standard deviation of logarithmic returns, indicating the risk associated with a security's price changes.
- Understand the concept of standard deviation and variance as measures of volatility and risk in investments.
Verified Answer
YR
Yamuna RijalApr 27, 2024
Final Answer :
True
Explanation :
The standard deviation is a statistical measure that quantifies the amount of variation or dispersion of a set of data values, often used to indicate the volatility of a financial instrument, investment portfolio, or any set of data.
Learning Objectives
- Understand the concept of standard deviation and variance as measures of volatility and risk in investments.