Business and Personal Finance Dictionary

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• VOLATILITY
  
  Volatility indicates how much and how quickly the value of an investment, market, or market sector changes. For example, stocks of small, newer companies are usually more volatile than those of established, blue chip companies because their values tend to rise and fall very sharply over short periods of time. The volatility of a stock relative to the overall market is known as its beta, and the volatility triggered by internal factors, regardless of the market, is known as a stock's alpha.
  
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