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Not to quibble, but your (reasonable) definition of variance requires two passes through the data; one to calculate mean, and one to calculate variance. If quants are using that formula, then someone needs to find better quants. There is an alternate formulation that requires only a single pass; average and variance can be calculated in the same pass. You need SumX and SumXX
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Thursday, May 23 | 01:46 PM ET
Thursday, May 23 | 01:46 PM ET
Thursday, May 23 | 01:46 PM ET
Thursday, May 23 | 01:46 PM ET