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Understanding the concept of turnover ratio:
Speaking on a general note, it is that percentage of any mutual fund or any other type of investment holding, that have been replaced in a specific year, and this varies by the type of mutual funds, the portfolio manager’s style of investment as well as objective of the investment that has been made.
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What are the specific problems of this subject?
As an important segment of finance as well as economics, there are multiple problems associated with this subject. Hence, students need to be very cautious of the manner in which this process needs to be understood.
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