What does standard deviation show on a graph?

What does standard deviation show on a graph?

The bell curve or standard deviation graph is used to visualise the spread of data. Excel is powerful tool to create graphs and visualise data and it can be used to create the bell graph. The standard deviation tells how much the data is clustered around the mean of the data.

Which graph has a higher standard deviation?

The standard deviation is a measure of how far points are from the mean. The first histogram has more points farther from the mean (scores of 0, 1, 9 and 10) and fewer points close to the mean (scores of 4, 5 and 6). So it will have the larger standard deviation.

How do you conclude a standard deviation?

Basically, a small standard deviation means that the values in a statistical data set are close to the mean of the data set, on average, and a large standard deviation means that the values in the data set are farther away from the mean, on average.

What is a reliable standard deviation?

A high standard deviation shows that the data is widely spread (less reliable) and a low standard deviation shows that the data are clustered closely around the mean (more reliable).

What is a good standard deviation for grades?

At least 1.

What does the standard deviation of a portfolio tell you?

For a given data set, standard deviation measures how spread out the numbers are from an average value. By measuring the standard deviation of a portfolio's annual rate of return, analysts can see how consistent the returns are over time.

How do you find the standard deviation of a portfolio?

Find the Standard Deviation of Each Stock. The standard deviation of each stock or portfolio is the square root of the variance we calculated in the previous step.

What is the minimum variance portfolio?

A minimum variance portfolio is a collection of securities that combine to minimize the price volatility of the overall portfolio. Volatility is a statistical measure of a particular security's price movement (ups and downs). An investment's volatility is interchangeable in meaning with “market risk”.

How do you find standard deviation expected return?

To calculate the standard deviation (σ) of a probability distribution, find each deviation from its expected value, square it, multiply it by its probability, add the products, and take the square root.