Realized Volatility
Realized Volatility, sometimes called historical volatility, is best described as the actual price movement a security has experienced over a period of time, typically measured by the standard deviation of its past returns.
Unlike implied volatility, which looks forward, realized volatility looks backward, using historical data to quantify how much a security has truly moved.
Large price swings, surprise events, or unexpected news can all drive realized volatility higher, while periods of calm trading will typically see realized volatility fall.
(All else remaining equal) Higher realized volatility can indicate that a security has been experiencing more erratic or uncertain price action, whereas lower realized volatility suggests steadier, more predictable moves. Certain equities have a tendency toward higher realized volatility than others
You can see and filter realized volatility on the Market Maps page, and track RV across numerous time frames.
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