volatility

Vocabulary Word

Definition

'Volatility' refers to something that changes quickly and unexpectedly. Like a stock market where prices can go up and down rapidly without any pattern.

Examples in Different Contexts

In fintech, developing tools to measure 'volatility' helps investors manage risks effectively. A fintech product manager might state, 'Our volatility assessment tool enables precise risk evaluation, allowing users to make informed investment decisions amid market uncertainties.'

Practice Scenarios

Business

Scenario:

This week has seen some significant swings in the value of our stocks. It seems we're dealing with a high degree of unpredictability.

Response:

Yes, it looks like the volatility of our shares in the market is higher than expected.

Academics

Scenario:

We have observed some unforeseeable fluctuations in our research data over the last quarter. This could seriously influence our study.

Response:

You're right. The volatility in the political landscape is affecting our data. We may have to adjust our research methodology.