Financial word of the day: Heteroscedasticity — meaning, usage, and why it matters more than ever

Financial word of the day: Heteroscedasticity describes a situation where risk (variance) changes with the level of a ...
Hosted on MSN

Standard Deviation vs. Variance: What’s the Difference?

Standard deviation and variance are two basic mathematical concepts that have an important place in various parts of the financial sector, from accounting to economics to investing. Both measure the ...
International Monetary Fund

Variance Decomposition Networks: Potential Pitfalls and a Simple Solution

Diebold and Yilmaz (2015) recently introduced variance decomposition networks as tools for quantifying and ranking the systemic risk of individual firms. The nature of these networks and their implied ...
Investopedia

What Is Variance in Statistics? Definition, Formula, and Example

Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...