Definition of volatility: Chemistry: Rate at which a chemical will evaporate. Volatility increases with temperature and decreases with pressure. Latin for, to fly. Define volatility. volatility synonyms, volatility pronunciation, volatility translation, English dictionary definition of volatility. adj. 1. Chemistry a. Evaporating readily. If you talk about the volatility of the stock market, stock prices are most likely fluctuating wildly. In chemistry, volatility means the speed with which a substance. Volatility is a variable that appears in option pricing formulas, where it denotes the volatility of the underlying asset return from now to the expiration of the option. Expressed often as a percentage, it is computed as the annualized standard deviation of the percentage change in the daily price. Leaderboards Vocabulary Bowl Bowl Leaders Today's Leaders Weekly Leaders Monthly Leaders. Eine mögliche Einteilung ist z. Text is available under the Creative Commons Attribution-ShareAlike License ; additional terms may apply. Investors across the world use the required rate of return to calculate the minimum return they would accept on an investment, after taking into consideration all available options. What does promontory mean? Incidence and prevalence are two commonly misused terms that can be confusing to many people. Whether stargames 5000 a student, an snaps online, or a life-long learner, Vocabulary. Acetone is a volatile solvent. Volatility and Casino karten zahlen exports. The Letter of the Contract Basil Disco pearl. One measure of the relative volatility of a particular stock to the market is its beta. The prices of some stocks are highly volatile. As a result, investors want a higher return for the increased risk. As its name suggests, historical volatility is how much volatility a stock has had over the past 12 months. There are volatility indexes. Whether you're a student, an educator, or a life-long learner, Vocabulary. Some exotic derivatives, like weather derivatives, may even have a non-financial entity as their underlying asset. It is calculated as the standard deviation from a certain continuously compounded return over a given period of time. Read A Simplified Approach to Calculating Volatility and The ABCs of Option Volatility. Reproduction of all or part of this glossary, in any format, without the written consent of WebFinance, Inc. Historic volatility is derived from time series of past market prices.