Finally, calculate the standard deviation by finding the square root of the variance, which is 5.6 or 6. How Is This Useful? Knowing the standard deviation can help you determine which option is ...

The standard deviation is a formal measure of the tendency of the numbers in your list to vary – or deviate – from the mean. You can think of it as a measure of how "spread out" your numbers are.

No, variance is not the same as standard deviation. When trying to understand variance vs. standard deviation , remember that variance is the average distance from the mean, while standard ...

Because of this, a variance swap's payout will be larger than that of a volatility swap, as the basis of these products is at variance rather than the standard deviation. A variance swap is a pure ...