SINGAPORE (Feb 26): Volatility has just become the new catchphrase for investors. It certainly makes for a more challenging investing environment but also presents some interesting opportunities.

Across the board, stocks have been seeing more gyrations in the past few weeks than they had in the whole of the preceding two years — and none more so than technology stocks.

Tech stocks are, historically, more volatile. Table 1 shows the standard deviations (the typical measure for volatility) for five of the biggest tech stocks compared with those for five large non-tech stocks. The relative standard deviation (also known as the coefficient of variation) for the former group is, on average, more than twice that for the latter group.

To continue reading,

Sign in to access this Premium article.

Subscription entitlements:

Less than $9 per month
3 Simultaneous logins across all devices
Unlimited access to latest and premium articles
Bonus unlimited access to online articles and virtual newspaper on The Edge Malaysia (single login)

Stay updated with Singapore corporate news stories for FREE

Follow our Telegram | Facebook