and the standard deviation is s=$0.60. This means that the average distance of all data points to the mean is $0.60. The variable has a bell-shaped distribution – it is a normal distribution.

Variance is calculated by using the following formula: You can also use the ... risk or volatility may be expressed as a standard deviation rather than a variance because the former is often ...

The standard error formula is a calculation of the standard error of the mean. It indicates a difference between the mean of ...

Either the population is normal in which case n can be of any size, or the population distribution is unknown in which case n should be 30 or more. In the following examples suppose n=36. The standard ...

The Sharpe ratio formula can be made easy using Microsoft Excel. Here is the standard Sharpe ratio equation: Sharpe ratio = (Mean portfolio return − Risk-free rate)/Standard deviation of ...

As the S&P 500 index has remained flat, Sempra shares have rallied in the past two months. Read my latest analysis on ...

The only way to deal with this is to prepare for a situation with a much higher likelihood of unprecedented extreme events, ...

The Federal Reserve cut the federal funds rate by 50 basis points to 4.75-5%, signaling a faster descent than expected. See ...

As you add stocks, the standard deviation of returns goes from 10% ... the efficient frontier calculation assumes security returns follow a normal distribution, where nearly all returns fall ...

The natural world is filled with variety. Ecological systems can look very different in different parts of the Earth. Every ...

That’s nearly a whole standard deviation above normal. In moderate to strong El Niño episodes we have a staggering 82% chance ...

How to calculate standard deviation using the defining formula is explained. Discuss with students the need to go beyond averages to give a picture of what a sample is like. Consider real life ...