Under the the BSOP, one of its variables is the volatility a.k.a the standard deviation. If we are given, say a variance of 169% (from D05 Q3 Daylon plc), what is the standard deviation? [standard deviation^2 = variance]
From the answer, it shows 13% or 0.13 (square root of 169%). Applying it to the formula, s^2 is 0.0169. However 0.0169 is not equivalent to 169% but 1.69%!!!!
My approach was firstly converting 169% to 1.69. The square root of 1.69 is 1.3. Applying it to the formula , s^2 is 1.69 which is equivalent to 169%.
P/S: I have a feeling that the percentage sign (%) is the problem behind this.
Anyways, do tell me where did I get the concept wrong. Thanks so much!