Explain Why the Variance of an Investment Is a Useful

question 15

Essay

Explain why the variance of an investment is a useful measure of the risk associated with it.

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Definitions:

Naturally Occurring

Referring to substances, phenomena, or processes that exist or happen without human intervention.

Polarized

A term indicating something is divided into two sharply contrasting groups or sets of opinions or beliefs.

Transmitter Substances

are chemical substances, such as neurotransmitters, that transmit nerve impulses across synapses between nerves or from nerves to muscles or organs.

Neuron

A specialized cell transmitting nerve impulses; a nerve cell.