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But while most investors care about volatility only when markets go down and their portfolio loses value, volatility works both ways.
Nothing has prepared them for the arrival of the hard, uninviting and inhospitable new world of downgrading of results, devaluation of earned value, volatility of jobs and stubbornness of joblessness, transience of prospects and durability of defeats, stillborn projects and frustrated hopes and chances ever more conspicuous by their absence.
An increase in the value volatility of the pledged property increases the risk.
Fig. 2 The relationship between the pledged loan-to-value ratio and the value volatility of the pledged property.
Given the same loan term and risk premium, the funds that the bank is willing to lend will be reduced with an increase in the value volatility.
As in Fig. 2, the pledged loan-to-value ratio decreases with an increase in the value volatility of the pledged property.
Similar(41)
But even those gains were small compared with those won by options traders who had placed bets on an index that rises in value when volatility increases in American equity markets.
The value's volatility gives plenty of opportunity to buy low and sell high.
Additional Vs include veracity, validity, value, and volatility (e.g. [27]).
Big data can be described based on various characteristics (namely volume, velocity, variety, veracity, value and volatility).
If rates move up a point, and all other factors such as time value and volatility stay nearly constant, this option could be worth another $6,000.
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