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9. What is the effect of a hypothetical 0.1 increase in turnover ratio across the board on the portfolio's performance? Compute the average monthly return,

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9. What is the effect of a hypothetical 0.1 increase in turnover ratio across the board on the portfolio's performance? Compute the average monthly return, risk, Sharpe Ratio (annualized), and maximum drawdown of the long-short strategy net of transaction cost, assuming instead that turnover ratio every month is increased by 0.1. [12 pts] " Sharpe Ratio -E_ 10. What is the effect of a hypothetical 50% increase in total transaction cost across the board on the portfolio's performance? Graph, under the same plot, the cumulative return of the long- short strategy net of transaction cost, assuming instead that total transaction cost every month is increased by 50%. [8 pts]

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