Just How Volatile Was This Year?

| Multi Asset

It goes without saying that markets have been volatile this year, but the chart below helps put in perspective just how volatile they have been. Using the Rogers, Satchell and Yoon volatility indicator, the Dow Jones Industrial Average has only ever had one year, back in 1932, which has been more volatile. 1932 itself followed the Great Stock Market Crash of 1929, the third most volatile year for the index on record.


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Source: Rogers, L. C. G., Satchell, S. E., and Yoon, Y., 1994. Estimating the Volatility of Stock Prices: A Comparison of Methods That Use High and Low prices. Applied Financial Economics 4, 241–247.

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