Understanding standard deviation means first understanding variance because standard deviation, mathematically speaking, is the square root of variance.

For example, if Mutual Fund A has an average annual return of 10% and a standard deviation of 4%, you would expect about 68% of the time for the return to be between 6% and 14% (1 standard ...

Downside deviation is a measure of downside risk that focuses on returns that fall below a minimum threshold or minimum acceptable return (MAR).