How to Calculate Standard Deviation of Cash Flows in Excel. When reviewing cash flow data for your small business, knowing the standard deviation can help you determine if the numbers are out of ...

Learn how to calculate Value at Risk (VaR) to effectively assess financial risks in portfolios, using historical, variance-covariance, and Monte Carlo methods.

How to calculate Standard Deviation in Excel The Standard Deviation is a term used in statistics. The term describes how much the numbers if a set of data vary from the mean.

It combines two related statistical concepts: variance and standard deviation. Correlation is used in several facets of financial analysis including the calculation of portfolio standard deviation.

Determination There are several practical ways to calculate the mean and standard deviation. Scientific calculators typically come with a built-in program for both the mean and standard deviation.

In finance, the variance is commonly used to calculate how each asset in a portfolio performs in relation to the other assets in the portfolio.