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Assume now that you have two identical portfolios worth $100,000 that are in a taxable account. Portfolio A has 0% annual turnover, Stocks in portfollo
Assume now that you have two identical portfolios worth $100,000 that are in a taxable account. Portfolio A has 0% annual turnover, Stocks in portfollo A are sold at the end of 10 years and the taxes are paid at the end of 10 years. Portfollo B has 100% annual turnover, with taxes paid each year. What is the after-tax value of the two investments at the end of 10 years
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