level 2 notes 3 page325 equivalent, interest, compound

minminmin

两句话不理解：

 

 

The accrual equivalent after-tax return moves closer to the pre-tax return as the time horizon increases because the value of tax deferral increases with time.

 

The accrual equivalent after-tax return also moves closer to the pre-tax return as more of the portfolio return is deferred because the portfolio earns compound interest tax-free.

 

 

who can explain them for me? thank you!