Volatility is the bane of many investors. Bumpy moves in your portfolio in response to market fluctuations can cause you to make emotionally driven mistakes in your investing, and that can cause you ...
Claire Boyte-White is the lead writer for NapkinFinance.com, co-author of I Am Net Worthy, and an Investopedia contributor. Claire's expertise lies in corporate finance & accounting, mutual funds, ...
Change is a constant. The rate of change is not. The global economy has undergone a monumental shift over the past two decades. Mathematician Clive Humby is credited with the phrase, "data is the new ...
Volatility influences options prices because dramatic price swings amplify gains and losses. While traders can’t look at a crystal ball to see how much volatility the market will endure, implied ...
Investors understand intuitively that some stocks are riskier than others. The capital asset pricing model attempts to quantify the common perception of risk using a term called beta. By understanding ...
Discover how to harness volatility measurements like standard deviation and beta to enhance your investment strategy and achieve an optimal risk-reward ratio.
Implied volatility is a powerful but often misunderstood metric that plays a major role in options trading. Implied volatility doesn’t tell you what’s going to happen to an option’s price, but it ...