Definition:
Convexity
Back to Finance Glossary | Previous Page
Convexity is a measure of an asset's volatility used to describe how an asset's price will change as interest rates change.An asset's convexity is equal to the negative of the second derivative of the asset's price relative to its yield, divided by its price.
Latest Articles Related to Convexity
Back to Finance Glossary | Previous Page
This web site is intended only to convey information. It is not to be construed as an investment guide or as an offer or solicitation of an offer to buy or sell any securities. The author has taken all usual and reasonable precautions to determine that the information contained in this website has been obtained from sources believed to be reliable.