Volatility refers to the amount of variation or uncertainty in the price of a security. It is an important concept in finance as it helps investors assess the risk associated with a particular investment. Essentially, high volatility means that the price of a security can change significantly in a short period of time, while low volatility indicates a more stable price. Understanding volatility is crucial for making informed investment decisions. So, always keep in mind the volatility factor when considering your investment options.
