Sentences with phrase «future volatility of the stock»

The is what the market believes the future volatility of the stock will be, and the market expresses it's opinion by increasing (higher volatility) or decreasing (lower volatility) the premium of the option.

The is what the market believes the future volatility of the stock will be, and the market expresses it's opinion by increasing (higher volatility) or decreasing (lower volatility) the premium of the option.

Not exact matches

Cboe, one of the companies offering Bitcoin futures trading, also has futures trading on stock market volatility, for example.

Important factors that may affect the Company's business and operations and that may cause actual results to differ materially from those in the forward - looking statements include, but are not limited to, operating in a highly competitive industry; changes in the retail landscape or the loss of key retail customers; the Company's ability to maintain, extend and expand its reputation and brand image; the impacts of the Company's international operations; the Company's ability to leverage its brand value; the Company's ability to predict, identify and interpret changes in consumer preferences and demand; the Company's ability to drive revenue growth in its key product categories, increase its market share, or add products; an impairment of the carrying value of goodwill or other indefinite - lived intangible assets; volatility in commodity, energy and other input costs; changes in the Company's management team or other key personnel; the Company's ability to realize the anticipated benefits from its cost savings initiatives; changes in relationships with significant customers and suppliers; the execution of the Company's international expansion strategy; tax law changes or interpretations; legal claims or other regulatory enforcement actions; product recalls or product liability claims; unanticipated business disruptions; the Company's ability to complete or realize the benefits from potential and completed acquisitions, alliances, divestitures or joint ventures; economic and political conditions in the United States and in various other nations in which we operate; the volatility of capital markets; increased pension, labor and people - related expenses; volatility in the market value of all or a portion of the derivatives we use; exchange rate fluctuations; risks associated with information technology and systems, including service interruptions, misappropriation of data or breaches of security; the Company's ability to protect intellectual property rights; impacts of natural events in the locations in which we or the Company's customers, suppliers or regulators operate; the Company's indebtedness and ability to pay such indebtedness; the Company's ownership structure; the impact of future sales of its common stock in the public markets; the Company's ability to continue to pay a regular dividend; changes in laws and regulations; restatements of the Company's consolidated financial statements; and other factors.

In their October 2009 paper entitled «Risk Sentiment Index (RSI) and Market Anomalies», Guy Kaplanski and Haim Levy introduce the Risk Sentiment Index (RSI) as a measure of the residual risk contained in VIX after accounting for the statistical and economic variables most predictive of future stock market volatility (such as previous month actual volatility and VIX).

In their May 2006 paper entitled «The Relation between Time - Series and Cross-Sectional Effects of Idiosyncratic Variance on Stock Returns in G7 Countries», Hui Guo and Robert Savickas investigate why the realized idiosyncratic volatility (beta) of individual stocks correlates negatively with future returns — why there is a penalty instead of a reward for this apparent risk.

Stock market crashes are synonymous with fear, volatility and pain while they should be thought of as a half - off sale and opportunities for those investors that are going to be net savers for the foreseeable future.

In his October 2012 paper entitled «Time - Varying Relationship of News Sentiment, Implied Volatility and Stock Returns», Lee Smales investigates relationships among aggregate unscheduled firm - specific news sentiment, changes in the S&P 500 Implied Volatility Index (VIX) and both contemporaneous and future S&P 500 Index returns.

Most worrying of all are the ETFs which sell volatility futures: implicitly leveraged and roughly five times more volatile than the stock market.

The movement of this wave demonstrates changing trader expectations of the futures stock market volatility.

Stock market futures dropped after the news, a sign that the markets will experience volatility on Wednesday as investors see the odds of a trade war as increasingly likely.

«Not only doesn't a stock's past price volatility serve as a good indicator of future profitability, it doesn't tell you something much more important - how much you can lose.

The idea is that this tendency leads to a preference for lottery - like stocks with a small chance of a very high payoff, and this preference, in turn, drives up the prices of high volatility stocks disproportionately, suggesting future underperformance.

In the absence of access to leverage, investors may overpay for high volatility stocks in an attempt to increase risk in their portfolios, potentially leading lower volatility stocks to become more attractively valued and outperform in the future.

An Analysis of the Implications for Stock and Futures Price Volatility of Program Trading and Dynamic Hedging Strategies: Sanford J. Grossman.

With futures, there is no assumption about the volatility of an underlying stock.

Their appeal is not only their non-correlation (or even negative correlation) with other parts of the portfolio, but their surprisingly low volatility: as a group, managed futures tend to have lower standard deviation and smaller drawdowns than both stocks and commodities.

If the things that made you buy the stock in the first place are all still true, don't let market volatility cloud your view of what makes the company successful and will probably continue to do so in the future.

Lottery stocks are defined as having negative returns between the maximum daily return and future returns, expected stock - specific skewness (relatively less symmetry in returns), relatively lower prices, a high predicted probability of jackpot (extremely large) returns and high volatility.

Looking toward the future, Langerman said, «The silver lining in all of the recent market volatility is that stocks are at levels where we are finding some attractive opportunities, both in the U.S. and internationally.

Since we are talking about using the past volatility of a stock to predict its future return, the failure of the risk - return trade - off may be because volatility reverses.

It is highly questionable whether further stock portfolio refinements will actually ever yield better future results in term of either lower volatility or higher returns.

For implied volatility it is okey to use Black and scholes but what to do with the historical volatility which carry the effect of past prices as a predictor of future prices.And then precisely the conditional historical volatility.i suggest that you must go with the process like, for stock returns 1) first download stock prices into excel sheet 2) take the natural log of (P1 / po) 3) calculate average of the sample 4) calculate square of (X-Xbar) 5) take square root of this and you will get the standard deviation of your required data.

Volume Determination in Stock and Stock Index Futures Markets: An Analysis of Arbitrage and Volatility Effects

In the November 2013 version of his paper entitled «Dynamic Asset Allocation Strategies Based on Unexpected Volatility», Valeriy Zakamulin investigates the ability of unexpected stock market volatility to predict future markeVolatility», Valeriy Zakamulin investigates the ability of unexpected stock market volatility to predict future markevolatility to predict future market returns.

The beta measures the past volatility of the stock and has no bearing on what the stock does in the future.

Many traders are moving out of stocks, futures, and equities to invest in the Forex market, because of it's high volatility and high liquidity.

Stock traders who have been using approaches that assume low - volatility conditions will persist indefinitely (e.g., shorting VIX futures, selling option premium, or simply increasing long position size) need to be prepared for a changing of the market guard — or risk getting crushed when volatility doesn't immediately retreat after its next upward spike.

Is the term structure of CBOE Volatility Index (VIX) futures useful for timing the underlying stock index?

Does identification of trends in the CBOE Volatility Index (VIX) via simple moving averages (SMA) support effective timing of the U.S. stock market or VIX futures exchange - traded notes (ETN)?

AMN show that the majority of stock market volatility is generated by the learning process around the future growth rate in fundamentals, such as dividends.

For example, with the stock portion of your portfolio, you might choose to balance higher - volatility stocks with those that have historically been more stable (though past performance is no guarantee of future results).

In other words, investors can use single stock futures in place of stock to speculate or hedge against volatility risk of a particular stock.