mfleming1983

You need to calculate how many times your long position (and the short as well) will be replaced. In order to turn over your long position you need to sell it and then to buy a new bunch of stocks. The similar operation concerns the short position, but in the reverse order. Each turn of buy/sell/buy incurs transaction costs. So you can easily get how many times your portfolio has been turned over. If you turn over just a portion of either position, then, calculate that portion which to be less than 1.