Stability Measures
Stability measures are tools used to assess the reliability and consistency of a system or process over time. They help identify how well a system can maintain its performance despite changes in conditions or external influences. Common examples include statistical control charts and process capability indices, which provide insights into variations and help ensure quality.
In finance, stability measures can refer to metrics that evaluate the resilience of an investment or market. These may include volatility indices and beta coefficients, which indicate how much an asset's price fluctuates compared to the overall market. Understanding these measures aids in making informed decisions.