New portfolio selection method reduces transaction costs and boosts competitiveness in markets.
The researchers looked at how to pick the best mix of stocks for a portfolio. They found that a new method called PERC helps control how much the portfolio changes over time, which can save money on trading fees. This method works well in both the US and China stock markets. It's important for investors to pay attention to how often they change their portfolio and how much it costs. The PERC method is a good way to measure how stable a portfolio is.