Learn about downside deviation, a crucial metric for assessing downside risk by focusing on returns below a minimum threshold, and how it influences investment strategies.

Investopedia contributors come from a range of backgrounds, and over 25 years there have been thousands of expert writers and editors who have contributed. Somer G. Anderson is CPA, doctor of ...

Standard deviation is a statistical metric that shows the distance of data from the average.

In response to my article, Is the Stock Market Too Concentrated?, which relied upon standard-deviation calculations to assess investment risk, a reader wrote: “My problem [with your argument] is ...