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What is volatility? Volatility is the rate at which the price of a stock increases or decreases over a particular period. Higher stock price volatility often means higher risk and helps an investor to estimate the fluctuations that may happen in the future. The idea behind low-volatility funds is simple: stocks that fluctuate less than the market as a whole are supposed to do better in bad times while still faring well in good times. |
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Chip Romig, MMR 423 |
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