Volatility smile. The higher the volatility, the greater the potential risk of loss for investors. Find out what it is, the factors that influence it, how to calculate it and manage it. In the stock market, volatility can affect groups of stocks, like those measured by the S&P 500 ® and Nasdaq Composite indexes. Apr 10, 2025 · Volatility is a significant, unexpected, rapid fluctuation in trading prices due to a large swath of people buying or selling investments around the same time. In finance, volatility (usually denoted by "σ") is the degree of variation of a trading price series over time, usually measured by the standard deviation of logarithmic returns. the…. Discover effective strategies that can be used. Volatility is the frequent price fluctuations experienced by underlying security in a financial market. May 11, 2025 · Volatility measures how much the price of a stock, derivative, or index fluctuates. You can think of volatility in investing just as you would in other areas of your Definition of volatility noun in Oxford Advanced Learner's Dictionary. zvh 01lt htpi oib fv 1wfpn ht2zos sollk ooav rps