Eco-Index

The inverse relationship between Bonds prices and intrest rate.

Bonds have an inverse relationship to interest rates. When the cost of borrowing money rises (when interest rates rise), bond prices usually fall, and vice-versa.

Understending a Fiscal Deficit.

A fiscal deficit is a shortfall in a government's income compared with its spending. The government that has a fiscal deficit is spending beyond its means.

a Fiscale Deficit occures when:
Total Expenditures > Total Revenues.

understanding Volatility

Volatility often refers to the amount of uncertainty or risk related to the size of changes in a security's value. A higher volatility means that a security's value can potentially be spread out over a larger range of values. This means that the price of the security can change dramatically over a short time period in either direction.
A lower volatility means that a security's value does not fluctuate dramatically, and tends to be more steady.

One way to measure an asset's variation is to quantify the daily returns (percent move on a daily basis) of the asset. Historical volatility is based on historical prices and represents the degree of variability in the returns of an asset. This number is without a unit and is expressed as a percentage. While variance captures the dispersion of returns around the mean of an asset in general, volatility is a measure of that variance bounded by a specific period of time. Thus, we can report daily volatility, weekly, monthly, or annualized volatility. It is therefore useful to think of volatility as the annualized standard deviation:
Volatility = √ (variance annualized)