Covariance

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Related to Co-variance: Covariance matrix

Covariance

A statistical measure of the degree to which random variables move together. A positive covariance implies that one variable is above (below) its mean value when the other variable is above (below) its mean value.

Covariance

The degree to which two variables are correlated. That is, covariance is the measure of how much two variables are related to one another. It is important in security analysis to determine how much or how little price movements in two companies or industries are connected.

covariance

A statistical measure of the extent to which two variables move together. Covariance is used by financial analysts to determine the degree to which return on two securities is related. In general, a high covariance indicates similar movements and lack of diversification. Compare variance. See also risk.
References in periodicals archive ?
As a matter of fact, the old layout behaves well up to a lambda value of 1.2, after which engine instability increases and the co-variance becomes unacceptable for lambda values higher than 1.3.
Furthermore, if the decline in sector variances is a permanent feature, recurrent cycles in GDP volatility may in future be around a lower trend level of real GDP volatility, provided the co-variance between sector growth rates does not increase significantly.
(29) This, of course, does not mean that murderers can defend themselves by appealing to the regular co-variance between moral properties and non-moral ones.
But it seems more perspicuous to stick with the core idea of supervenience as co-variance, and regard such co-variance as invariably a symptom of some other, more fundamental, relation of dependency or determination (identity, entailment, constitution, etc.).
This result is true both when the conditional co-variances of individual asset returns are constant over time, and when they are allowed to vary as a function of economic variables.
This constant cancels from the ratio of genetic co-variances and variances; thus, estimates of genetic correlations are unchanged.
Phenotypic and genetic co-variance structure in milkweed bug life history traits.
This shows genotype ranking was not affected across the water regimes therefore the genotype performance was averaged over the water regimes and re-analysis of varieties was carried out (Table 1b).On the other hand Wr Vr and Wr+Vr array co-variance were significant (P = 0.05)showing that model was inadequate and not valid for the estimation of genetic component.
Do this for all demes, and examine the co-variance among the pairs of measures.
The graphical representation of variance (Vr) and co-variance (Wr) proposed additive gene action with partial dominanceaction.
Imagine two characters in which the phenotypic variances are standardized to unity ([P.sub.11] = [P.sub.22] = 1.0), the genetic variances (equal to the heritabilities) are [G.sub.11] = [G.sub.22] = 0.5, the phenotypic covariance [P.sub.12] = 0.5, and the genetic co-variance [G.sub.12] = 0.05.
Here, [COV.sub.P] is the total phenotypic covariance, [COV.sub.E] is the environmental covariance, and [COV.sub.mat] is the maternal co-variance.