4CRB: Can I handle market volatility?
Market volatility – So what is it?
In relation to shares or super it is the daily movements in the share price of the underlying investments. They move each day and minute that the markets are open because it is a free market.
A good way to think of it is the lowest price someone is willing to sell their shares for. That is what the purchaser is paying.
Most movements in share prices come from outside events from the world in the short term and over the medium to longer term they should come from the characteristics of the company.
