High vs low slot volatility - What does volatility mean, and why does it matter?

If you're thinking of playing online slots, you need to understand volatility. In this article we explain what is meant and how it can be used alongside RTP to enhance the enjoyment you get when you apply online casino games.

What does volatility mean in slots?

Slot volatility is the name of the metric that is used to indicate how frequently you can expect a slot to payout and what sort of size the prize money will amount to. Volatility is a specific term used in finance, but it can also be applied to online casino play.

Why is volatility important for slot machines?

Every slot offered by licensed online casinos, like those listed by slotsjudge.com, has a volatility rating. This rating tells you how often a particular slot pays out and, in broad terms, how much. The difference between volatility ratings is, therefore, important because you can use it to ensure your online casino experience matches your expectations.

Types of volatility - the high, the low, and those in between

All fruit machines are categorised, and it's the software provider who creates the game and testing house they use that determines the volatility. In order to choose the best variance that matches your playing style, you first need to understand what each volatility ranking means, be it high, low, or somewhere in between. The levels of volatility include:

• High-volatility
• Medium/High-volatility
• Medium volatility
• Low/Medium-volatility
• Low volatility

So, without further ado, let's explain the different levels, starting with high-volatility games.

The high volatility

A high-volatility slot is one that pays out infrequently. It also means that you'll probably not only have to wait longer between payouts, but in all probability, you'll have to wait longer for your first win on a higher volatility game.

These types of games are generally played by those who can afford a large bankroll. The good news is that although you'll win less often, a high variance rating indicates that the size of the payout will be large.

One remarkable example of a high-volatility slot win was British soldier Jon Heywood. He won £13.2 million on Mega Moolah in 2015. On hearing the news, he said, "I couldn't believe that I'd won all this money at the time - and it still hasn't sunk in.” He’d only been a Betway customer for about 25 minutes.

The medium-high volatility

The next rating down from the high-volatility slot is the medium-high-rated games. Although this kind of game still pays out less frequently, it pays out more often than those with a high rating. Similarly, while the size of the payouts will be large, the amount will be slightly less than its high volatility cousin.

The medium-volatility

Then, you have the medium volatility slots. These tend to be favoured by players who don't want to wait ages for a large payout but would rather land payouts reasonably regularly and of a meaningful amount when they spin the reels.

The low-medium volatility

The next one down from the medium-volatility game is the low-medium slot. The low to medium rating sits between medium and low volatility. This type of casino game often suits players who used to be newbies to online casino gambling but who have since gained a little experience and want to move on from playing low-volatility games. Low-medium variance machines pay out pretty regularly, albeit the prize money is quite low.

The low volatility slot

Low-volatility games are the lowest in terms of variance ratings and are very popular among newbie gamblers who like to win when they bet, even though the winnings might be small. Playing a low-volatility machine doesn't mean a win per spin, but it's not that far off. It means that those new to having a bet at a virtual casino are not likely to get disillusioned too quickly.

Determining the right online casino fruit machine volatility level for you when you play slots

Determining which is the right online slot machine volatility for you is a very individual thing. It has nothing to do with themes. It depends on things like how much you like to bet when playing online games and whether you are in search of a jackpot.

Now you know that lower-volatility machines are more suited for gambling newbies, while high-volatility machines are suited for more experienced gamblers who have bigger bankrolls. You can choose the best volatility games for you according to your playing style, how much and how often you're hoping to win, and what size bankroll you're prepared to fund.

Relationship between volatility and RTP

Whether you choose to play low or high-volatility games, or your preferred gaming falls somewhere in between, there is another metric you ought to consider when choosing which game to play. It's something called RTP, which stands for Return to Player. It's usually shown as an RTP percentage. Playing higher RTP slots tends to mean having more money returned to you. When you play a game with a high RTP - say 98% - you could have $98 returned to you for every $100 you wager. But don't take this literally. Why?

RTP stats are calculated over millions of spins, and as you are only likely to play dozens or hundreds of spins on one particular slot during a session, it means the machine's published RTP won't apply.

Having said that, it's still a useful metric, especially when used alongside the slot's volatility level. While a machine's volatility level gives you a guide as to how often it pays out and what sort of prize money you can expect, RTP is a guide as to what your session might cost you.

Understanding this relationship between volatility and RTP is key to getting the most out of your online gambling experience.

Which volatility is better - high, low or medium volatility?

Online gaming is great fun, win or lose. But which is better - low-volatility slot machines, medium, or high? Hopefully, understanding volatility has been made easier after reading this article. But which suits you best is dependent on your individual taste and preference. At the end of the day, the size of your bankroll and your patience while waiting for a big win will help you find the best variance for you from the volatility index discussed above. But, as Peter Berstein a respected financial historian, said, “Volatility is often a symptom of risk but is not a risk in and of itself. Volatility obscures the future but does not necessarily determine the future.” It’s very true, especially when applied to the randomness of online slots.