Valuation

The process of determining the value or worth on an asset. Security valuation is usually based on market price. There are many techniques that can be used to determine value, some are subjective and others are objective.

Value-at-Risk (VaR)

A technique used to estimate the probability of portfolio losses based on the statistical analysis of historical price trends, volatilities and correlations.

Value stocks

Stock believed to be selling at a discount to its intrinsic value. Value investors believe they can realize a profit from buying value stocks.

Variable exposure

Exposure which can range from net short to net long. Opportunistic strategies like global macro and long/short equity tend to have variable exposure to the markets.

Volatility

A statistical measure of the dispersion of returns for a given security or market index. Volatility can either be measured by using the standard deviation or variance between returns from that same security or market index. Commonly, the higher the volatility, the riskier the security.