Standard deviation: Difference between revisions
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(SD). Standard deviation measures the spread of data around their mean. The standard deviation is the square root of the variance. | (SD). | ||
Standard deviation measures the spread of data around their mean. | |||
The standard deviation is the square root of the variance. | |||
Standard deviation is used widely as a measure of risk, because it is relatively easy to calculate, compare and combine with the standard deviations of other variables. | Standard deviation is used widely as a measure of risk, because it is relatively easy to calculate, compare and combine with the standard deviations of other variables. | ||
== See also == | == See also == | ||
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* [[Variance]] | * [[Variance]] | ||
* [[Volatility]] | * [[Volatility]] | ||
Revision as of 09:32, 20 August 2013
(SD).
Standard deviation measures the spread of data around their mean.
The standard deviation is the square root of the variance.
Standard deviation is used widely as a measure of risk, because it is relatively easy to calculate, compare and combine with the standard deviations of other variables.