Case 3 Deciding How to Invest Retirement Money Emily Borden, from Georgetown, Delaware, recently graduated from college and started her fi rst full-time job with a midsize company. Emily’s employer off ers a 401(k) defi nedcontribution, tax-sheltered retirement account in which she and her employer can place funds. She must select one or more options from among these seven investment choices:

(1) her company’s stock, (2) a low-risk bond mutual fund, (3) a growth stock fund, (4) an aggressive growth stock fund, (5) a stock index fund, (6) a money market fund, or (7) an annuity.

Into which option(s) would you suggest she invest, and indicate what percentage of the overall 100 percent of deposited funds she should put into that option. Explain the reasons for your choices.