Investor Profile: You are in your mid-20s, single, and working at a job that you enjoy and where you earn a pretty good salary. You have many friends and are in a relationship. Marriage is not out of the question, and you do hope to have children one day. You see a nice home in your future (out in the country a bit, or in a small town where it is more affordable). You'd love to have a cottage, travel and see the world, retire young, and have a nice car. You live in a modest apartment, and you find that, although you lead a very active and enjoyable life, you are able to save about 10 to 15% of your income on an annual basis. You have a passion for tennis, and each year you travel to the U.S. Open in New York. You love to cook, but only on occasion, so you eat out a lot. The investor currently has $50,000 in a bank savings account which is available to be invested. I Asset Allocation Model In this section use the investor profile below to develop an asset allocation model dividing the investments into cash, fixed income, equity and speculative. Explain your choices. Your asset allocation must contain at least one type of investment from each of the cash and fixed income categories. Your asset allocation model must have at least two equity investments. Speculative investments should be considered for high-risk investors, The costs of the investments should be identified. There is no limit on the number of investments chosen but each should be chosen for a specific reason. A proper analysis includes an economic analysis, industry analysis and company specific analysis. Describe the strategy chosen for your investment purchases. Discuss real events which took place to make you alter any decisions and why it made you take a different course of action. Reference news articles and websites to illustrate your course of action. Criterial Have you shown an understanding of risk, liquidity, return and time frame in selecting an asset allocation? Have you offered clear and objective evidence to support your asset allocation? Have you adhered to the required number of Investments for each investment category? Do you offer reasons why one investment was chosen over another? Is there diversity within the category and a reason for that diversity? Do the choices reflect research? D Home R A G & Investor Profile: You are in your mid-20s, single, and working at a job that you enjoy and where you earn a pretty good salary. You have many friends and are in a relationship. Marriage is not out of the question, and you do hope to have children one day. You see a nice home in your future (out in the country a bit, or in a small town where it is more affordable). You'd love to have a cottage, travel and see the world, retire young, and have a nice car. You live in a modest apartment, and you find that, although you lead a very active and enjoyable life, you are able to save about 10 to 15% of your income on an annual basis. You have a passion for tennis, and each year you travel to the U.S. Open in New York. You love to cook, but only on occasion, so you eat out a lot. The investor currently has $50,000 in a bank savings account which is available to be invested. I Asset Allocation Model In this section use the investor profile below to develop an asset allocation model dividing the investments into cash, fixed income, equity and speculative. Explain your choices. Your asset allocation must contain at least one type of investment from each of the cash and fixed income categories. Your asset allocation model must have at least two equity investments. Speculative investments should be considered for high-risk investors, The costs of the investments should be identified. There is no limit on the number of investments chosen but each should be chosen for a specific reason. A proper analysis includes an economic analysis, industry analysis and company specific analysis. Describe the strategy chosen for your investment purchases. Discuss real events which took place to make you alter any decisions and why it made you take a different course of action. Reference news articles and websites to illustrate your course of action. Criterial Have you shown an understanding of risk, liquidity, return and time frame in selecting an asset allocation? Have you offered clear and objective evidence to support your asset allocation? Have you adhered to the required number of Investments for each investment category? Do you offer reasons why one investment was chosen over another? Is there diversity within the category and a reason for that diversity? Do the choices reflect research? D Home R A G &