Discover the most popular and inspiring quotes and sayings on the topic of Volatility. Share them with your friends on social media platforms like Facebook, Twitter, or your personal blogs, and let the world be inspired by their powerful messages. Here are the Top 100 Volatility Quotes And Sayings by 74 Authors including Donella H. Meadows,Coreen T. Sol,Kerry W. Given,Ziad K. Abdelnour,Seth Klarman for you to enjoy and share.
If you have a sense of the rates of change of stocks, you don't expect things to happen faster than they can happen. You don't give up too soon.
The cycle of optimism and euphoria leading to greed, fear and capitulation, giving way to hope and building back to optimism, drives the expansion and contraction of our financial world in a market cycle of collective human emotion.
Technical Analysis of the Financial Markets,
Derivatives - The risk never leaves the system - It finds taker who believes the risk is acceptable ... until they lose everything.
Value investing is at its core the marriage of a contrarian streak and a calculator.
Dynamism is a function of change.
Always remembering that we might be wrong, we must contemplate alternatives, concoct hedges, and search vigilantly for validation of our assessments. We always sell when a security's price begins to reflect full value, because we are never sure that our thesis will be precisely correct.
Look at market fluctuations as your friend rather than your enemy; profit from folly rather than participate in it.
Investors have few spare tires left. Think of the image of a car on a bumpy road to an uncertain destination that has already used up its spare tire. The cash reserves of people have been eaten up by the recent market volatility.
The stock market has always had its own meter. Sometimes it's ahead of itself, sometimes it's behind itself. A broken watch is right twice a day.
The nature of risk may be the single most important argument for the use of quantitative analysis in investment management. Neither Investors nor Analysts can be blamed for this fact. Nor can Harry Markowitz. Nature made risk a quadratic function. Markowitz only discovered it.
The market can move for irrational reasons, and you have to be prepared for that, ... you need to make big bets when the odds are in your favor
not big enough to ruin you, but big enough to make a difference.
Risk is the stuff that sucks the predictability right out of the very things that we desperately wish were predictable.
I always remind myself that what one observes is at best a combination of variance and returns, not just returns.
The three most important words in investing ... Margin of Safety.
When asked what the stock market will do: It will fluctuate
Market prices for stocks fluctuate at great amplitudes around intrinsic value but, over the long term, intrinsic value is virtually always reflected at some point in market price.
Reflecting an amalgam of economics, monetary, and psychological factors, the stock market represents possibly the most subtly intricate game invented by man.
What's hot today isn't likely to be hot tomorrow. The stock market reverts to fundamental returns over the long run. Don't follow the herd.
Value investing is risk aversion.
There are challenges in terms of the measurement of VAR for what are known as nonlinear derivatives, where things like gamma and vega are important dimensions of the risk.
Each price is a momentary consensus of value of all market participants expressed in action.
In contrast to the speculators preoccupation with rapid gain, value investors demonstrate their risk aversion by striving to avoid loss.
In rising financial markets, the world is forever new. The bull or optimist has no eyes for past or present, but only for the future, where streams of revenue play in his imagination.
Reversion to the mean is the iron rule of the financial markets.
Now quantitatively we rank things on something called alpha over standard deviation, which is the return independent of the market divided by volatility. Usually, to get a high ranking, you need some buying pressure.
A weakness of the random-walk model lies in its assumption of instantaneous adjustment, whereas the information impelling a stock market toward its "intrinsic value" gradually becomes disseminated throughout the market place.
When all feels calm and prices surge, the markets may feel safe; but, in fact, they are dangerous because few investors are focusing on risk.
Different industries have different risks and growth rates and volatility.
The historical data support one conclusion with unusual force: To invest with success, you must be a long-term investor.
But there is always creative destruction in markets: there are always new winners taking the place of those that are. So if you only look at the market's surface, it may appear flat, but there's always huge turbulence taking place within.
Never, never, never think - that's one lesson you should have in life. Never think that lack of variability is stability.
Beta and modern portfolio theory and the like - none of it makes any sense to me.
As a general rule, durable-goods production tends to be the most volatile sector of the economy. Since people usually have a stock of durables in use, when times get tight, they put off new purchases. What seem like small cutbacks to the end buyer translate into big swings for the producer.
In the short run, the market is a voting machine, but in the long run it is a weighing machine.
As a speculator you must embrace disorder and chaos.
The markets don't like instability and they don't like uncertainty.
Electricity transmission operates on a frequency between 49.7 Hertz and 50.2 Hertz. What I have done is petitioned the Central Electricity Regulatory Commission and squeezed this band to now 49.9 Hertz to 50.1 Hertz. This will contain volatility.
One thing we have lost, that we had in the past, is a sense of progress, that things are getting better. There is a sense of volatility, but not of progress.
Whenever you have the kind of market that is taking shape now - a wildly volatile one with big pricing discrepancies - it plays right into the hands of managers who are very focused on research and stock picking.
One of the most constant aspects of American life is change - and nowhere is it more evident than in our financial markets.
To reduce risk it is necessary to avoid a portfolio whose securities are all highly correlated with each other. One hundred securities whose returns rise and fall in near unison afford little protection than the uncertain return of a single security.
Good investing is a peculiar balance between the conviction to follow your ideas and the flexibility to recognize when you have made a mistake.
Share prices follow the theorem: hope divided by fear minus greed.
When stock prices are rising, it's called "momentum investing"; when they are falling, it's called "panic".
Whatever is newly expensive has two attributes: wonderful past returns and, in most cases, lousy future returns.
Business is all about risk taking and managing uncertainties and turbulence.
Commodities tend to zig when the equity markets zag.
People do not know how what is at variance agrees with itself. It is an attunement of opposite tensions, like that of the bow and the lyre.
Smart Risk will shatter the emotional myths to investing and help Canadians see the opportunities in today's volatile market.
Investors making purchases in an overheated market need to recognize that it may often take an extended period for the value of even an outstanding company to catch up with the price they paid.
In a rising market, everyone makes money and a value philosophy is unnecessary. But because there is no certain way to predict what the market will do, one must follow a value philosophy at all times.
Wild swings in share prices have more to do with the "lemming- like" behaviour of institutional investors than with the aggregate returns of the company they own.
I contend that financial markets never reflect the underlying reality accurately; they always distort it in some way or another and the distortions find expression in market prices. Those distortions can, occasionally, find ways to affect the fundamentals that market prices are supposed to reflect.
Nothing tells in the long run like a good judgment, and no sound judgment can remain with the man whose mind is disturbed by the mercurial changes of the stock exchange. It places him under an influence akin to intoxication. What is not, he sees, and what he sees, is not.
Do not trust financial market risk models. Despite the predilection of some analysts to model the financial markets using sophisticated mathematics, the markets are governed by behavioral science, not physical science.
In order to understand the movement of prices, you need not an oscilloscope to measure the entire market and reduce it to noise, but a microscope to investigate the creative process behind every company and its price.
In the short term, the stock market is a voting machine. In the long run, it's a weighing machine" that measures a company's true value.
It is one of the great paradoxes of the stock market that what seems too high usually goes higher and what seems too low usually goes lower.
The head is the phase when the stock is rising but nobody knows the reason. Most retail investors and traders are not in the stock and neither is it being talked about. This
We next consider the rule that the investor does or should consider expected return a desirable thing and variance of return an undesirable thing.
that the Black Swan has three attributes: unpredictability, consequences, and retrospective explainability. Let
Certainty is the mother of quiet and repose, and uncertainty the cause of variance and contentions.
The model used by Wall Street to price trillions of dollar's worth of derivatives thought of the financial world as an orderly, continuous process. But the world was not continuous; it changed discontinuously, and often by accident.
Investors don't like uncertainty.
Life is volatile.
In most bull markets there comes a time when the public controls fluctuations and the efforts of the largest operators are insufficient to check the rising tide.
When herding behaviour among investors ramps up, a stock's or index's growth rate can increase faster than exponentially, leading to more herding. This positive feedback brings the system to a tipping point. About two-thirds of the time, a crash results.
If your broker or investment advisor is not familiar with the concept of standard deviation of returns, get a new one.
You don't want too much fear in a market, because people will be blinded to some very good buying opportunities. You don't want too much complacency because people will be blinded to some risk.
The ultimate compound return rate is acutely sensitive to fat tails.
At any moment, one company stands in the spotlight of the middle ring in the stock market's never-ending circus. It may not be the biggest corporation in the world, or the most profitable, but somehow it both mirrors and leads the market's broader action.
Time is a series of fluctuating variables.
Market risk is like taking a plunge into a cool pool ... a lot of people are finding out right now what their risk tolerance is.
Unpredictability is closely related to uncontrollability.
Because of my own experience with market fluctuation, I recognize the great risks one takes on investments. This converts the Social Security safety net into a risky proposition many cannot afford to take.
Investment is not only volatile, it is the key motor of the economy's prosperity because it has a snowball effect.
Basically, we try to buy value expressed in the differential between its price and what we think its worth.
There are some people who, if they don't already know, you can't tell them.
As the great philosopher of uncertainty Yogi berra once said, Don't waste your time trying to fight forecasters, stock analysts, economists and social scientists, except to play pranks on them.
Bull markets go to people's heads. If you're a duck on a pond, and it's rising due to a downpour, you start going up in the world. But you think it's you, not the pond.
The best values today are often found in the stocks that were once hot and have since gone cold.
If there is one fatal flaw in this business, it is allowing isolated information to drive trading or investing decisions-committing money without understanding all the risks. And there is only one way to understand all the risks: through systematic knowledge.
Markets and exchanges are merely mechanisms which reflect the temperament of man
On average, 90 percent of the variability of returns and 100 percent of the absolute level of return is explained by asset allocation.
All small returns are noise. To transcend the noise and the risk, seek outsized returns from technological paradigms.
The fallacy of trying to time the highs and lows Trying to time the highs and lows of the market is a fool's game. It can't be done with any reliability, and you shouldn't waste your time trying.
We are not so brazen as to believe that we can perfectly calibrate valuation; determining risk and return for any investment remains an art not an exact science
In all the different employments of stock, the ordinary rate of profit varies more or less with the certainty or uncertainty of the returns.
The reality is that financial markets are self-destabilizing; occasionally they tend toward disequilibrium, not equilibrium.
Highs must be followed by lows.
Reuters was completely accurate that I am concerned about the level of the market. But I also made it clear on the conference call (and I believe as Reuters reported it), that it is almost impossible to predict what a market will do in the short term. There are too many variables.
If you roll dice, you know that the odds are one in six that the dice will come up on a particular side. So you can calculate the risk. But, in the stock market, such computations are bull - you don't even know how many sides the dice have!
Fundamentals make the market.
The mistakes we make as investors is when the market's going up, we think it's going to go up forever. When the market goes down, we think it's going to go down forever. Neither of those things actually happen. Doesn't do anything forever. It's by the moment.
Given the nature of market, the chance of a crash is always greater than the chance of an overnight runaway euphoria.
Knowledge is only one ingredient on arriving at a stock's proper price. The other ingredient, fully as important as information, is sound judgment.
The market is fast-moving, fast-growing. Things that are true today may not be true tomorrow.
Economists who adhere to rational-expectations models of the world will never admit it, but a lot of what happens in markets is driven by pure stupidity - or, rather, inattention, misinformation about fundamentals, and an exaggerated focus on currently circulating stories.
stability is like a lover with a sweet mouth upon your body one second; the next you are a tremor lying on the floor covered in rubble and old currency waiting for its return.
To a value investor, investments come in three varieties: undervalued at one price, fairly valued at another price, and overvalued at still some higher price. The goal is to buy the first, avoid the second, and sell the third.