Discover how standard deviation calculates investment risk and market volatility, helping investors make informed decisions.

Investopedia contributors come from a range of backgrounds, and over 25 years there have been thousands of expert writers and editors who have contributed. Andy Smith is a Certified Financial Planner ...

In response to my article, Is the Stock Market Too Concentrated?, which relied upon standard-deviation calculations to assess investment risk, a reader wrote: “My problem [with your argument] is ...

Standard deviation is a measurement of market volatility. Learn how investors use standard deviation in the MoneySense Glossary. Standard deviation (σ) is an investing metric used to measure the ...