For example, a person had to choose between two stocks. Stock A over the past 20 years had an average return of 10 percent, with a standard deviation of 20 percentage points (pp). Stock B over the past 20 years had an average return of 12 percent but a higher standard deviation of 30 pp. Thinking about the risk, the person may decide that Stock A is the safer choice. Even though they may not make as much money, they probably will not lose much money either. The person may think that Stock B's 2 point higher average is not worth the additional 10 pp standard deviation (greater risk or uncertainty of the expected return).