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GARCH Volatility Clustering Lab

Interactive 3D GARCH(1,1) simulator: watch a synthetic return series develop real volatility clustering as you tune the omega, alpha and beta parameters, with live conditional-volatility, persistence and long-run-variance readouts.

Financial Models & Markets3DAdvanced60 FPS📱 Mobile-adapted⇄ 2D version

Financial return series don't have constant variance — big moves cluster together, and calm periods cluster together too. This simulator runs a live GARCH(1,1) process, the standard econometric model for exactly that behaviour, and renders it as a 3D bar strip: bar height is the simulated daily return, bar colour and depth track the current conditional volatility σₜ, and two envelope curves trace ±σₜ through time so the clustering is visible, not just numeric. Tune ω, α and β to see how the base level, shock-sensitivity and persistence each reshape the pattern, or hit "Inject shock" to watch a single large surprise ripple through the variance equation and decay back to its long-run level.

⚙ Under the hood

A live GARCH(1,1) simulator that renders a financial return series as 3D bars whose colour and depth track conditional volatility, showing how real market turbulence clusters in time.

time-seriesGARCHvolatilityfinanceforecastingeconometrics

3D · Three.js / WebGL renderer · 60 FPS target · runs fully client-side, no install