Suppose that every time a fund manager trades stock, transaction costs such as commissions and bid−ask spreads amount to

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answerhappygod
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Suppose that every time a fund manager trades stock, transaction costs such as commissions and bid−ask spreads amount to

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Suppose that every time a fund manager trades stock, transactioncosts such as commissions and bid−ask spreads amount to 0.5% of thevalue of the trade.If the portfolio turnover rate is 60%, by how much is the totalreturn of the portfolio reduced by trading costs?
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