Volatility: Realized, Implied, and Why It Clusters foundational

Volatility is not one number but a family of related objects: what happened, what the options market prices, and what a model forecasts next.

Volatility is not one number but a family of related objects: what happened, what the options market prices, and what a model forecasts next.

Register to Read

Sign up for a free account to access all 112 primer topics.

Create Free Account

Already have an account? Sign in

References

Empirical properties of asset returns: stylized facts and statistical issues
R. Cont (2001) — Quantitative Finance
Time-Series Techniques: Estimating Volatility
Stephen Marra (2023) — The Journal of Portfolio Management
Generalized autoregressive conditional heteroskedasticity
Tim Bollerslev (1986) — Journal of Econometrics
Volatility Clustering in Financial Markets: Empirical Facts and Agent-Based Models
Rama Cont, Gilles Teyssière, Alan P. Kirman (2007) — Springer