Asked by

ashlee Espinosa
on Nov 16, 2024

verifed

Verified

Because the statistic called the standard deviation measures the volatility of a variable, it is used to measure the return of a portfolio.

Standard Deviation

A statistical measure that quantifies the amount of variation or dispersion of a set of values from their average.

Volatility

Measures the degree of variation of a trading price series over time, typically used in financial contexts to indicate the risk of an investment.

  • Comprehend the concept of diversification and its role in mitigating risk within investment portfolios.
verifed

Verified Answer

SB
Sammi BosticNov 19, 2024
Final Answer:
Get Full Answer