I'm not sure if I'm in the right place... but hopefully someone can point me in the right direction, if nothing else.
I'm in the process of launching a hedge fund which uses automated, black-box trading. I'm looking for some standard legalese that might act as "risk disclosure" to put...
I think you'll find this link incredibly useful.
Equation: Historical Open-High-Low-Close Volatility: Yang Zhang - SITMO
There are numerous published methods for calculating historical volatility. Pick the one that serves you + your instrument best.