Mr. Peter Chan age 35, married. He is working as an IT consultant in a FinTech company and his monthly salary in 2021/22 is $70,000.00. Usually, Mr. Chan receives a cash incentive $100,000.00 at each year-end.

Mrs. Chan, Mimi, age 32. She is working as an accountant in a trading company and her monthly salary in 2021/22 is $50,000.00. Mrs. Chan is entitled to have one-month year-end bonus each year.

Both now are living with Peter Chans mother, who is a retiree at age 65.

Assets of Peter and Mimi: 1. Bank deposit $400,000.00 2. Mutual fund investment $500,000.00 3. Share $300,000.00 4. Life Insurance protection $1,000,000.00 (Mrs. Mimi Chan only)

Asset of Peter Chans Mother: 5. Self-occupied apartment $8,000,000.00 (current market value)

Liability: 6. Current mortgage loan outstanding, including interest: $2,400,000.00 (to be paid up

in 10 years)

Peter and Mimi have a son Mark, aged 3 now. They would like to setup an education fund for Mark. Assume Mark will study in Hong Kong for tertiary education at the age of 18.

Peter plans to move out from his mothers apartment after 3 years and would like to purchase a flat nearby. The budget is $10,000,000 by then.

The current household expenditure is $60,000 per month, including current monthly mortgage payment HKD20,000. In addition, they want to provide $9,000 per month to Peters mother as pocket money after they move out.

Peter and Mimi want to seek advice from you, as a financial planning expert, to achieve their financial goals. In addition, you should also identify and give advices on the risk management position of the family.

Common Assumptions:

a. Estimated average annual rate of inflation for the whole period: 3% p.a.

b. YOU SHOULD MAKE ANY REASONABLE ASSUMPTIONS BY

YOUR OWN TO FACILITATE THE CALCULATION.

Hints:

1. You should provide a financial plan showing detailed calculations on how you

achieve the proposed figures.

2. To estimate the financial needs and available resources.

3. To calculate the difference between the need required and the available

resources.

4. To design and implement a plan to accumulate sufficient funds for education

expenses (for the 4 years University study of Mark) and purchasing new

property.

5. To make use appropriate insurance products for risk management or the like.

Mr. Peter Chan age 35. med. He working on Ice company and his monthly wary 202122570,000 Mt Chien ces canh cove100,000.00 at each year-end Mrs Chan, Mimiage 32 She is working as an accountant in tigny and her monthly salary in 2012 i 550,000.00 Mrs. Chun is entitled to con your cd bonus each you Both now we living with Peter Chun's mother who wa retireespea Assets et Peter and Mime 1. Tank deposit 5400,000.00 2. Mutual fund me 500.000,00 3. Share 5300,000.00 4 Life Insurance pro $1,000,000.00 (Mrs. Mini Chanely Axect of Peter Chan Mother 5. Select 53,000,000.00 centuale Liability * Current mortgage loam entstanding, including interest: 52.000.000.000 perto in 1 yes) Peter and Mini have an Mark, aged now. They would like to fund for Mark Assume Mark will stay in the Konferentiary educate the of I Peserpins to move out from his mother's aparmester 3 years purchase a flat nearby. The budget is $10.000.000 by the The current schild expenditure is 560.000 per month. Including mortgage payment HKD20,000. In addition, they want to gende 90 per to Peter's motetas pocket money atlet they move out Peter and Mimi want to seek advice from you anafancial planning expertise their financial goale In addition, you should also identify and geadriceschenk management position of the family Come Assumption Estimated average annual rate of inflation for the whole priat . YOU SHOULD MAKE ANY REASONABLE ASSUMPTIONS BY YOUR OWN TO FACILITATE THE CALCULATION 1. You should provide a fiumil plan wang detailed cases you achieve the proposed 2. To estimate the financial needs and we 3. To cakulate the difference between the mood on and the able To design and implement plans toute sufficient funds for aduce expenses (for the yours University way of Mark) and purchasing property Mr. Peter Chan age 35. med. He working on Ice company and his monthly wary 202122570,000 Mt Chien ces canh cove100,000.00 at each year-end Mrs Chan, Mimiage 32 She is working as an accountant in tigny and her monthly salary in 2012 i 550,000.00 Mrs. Chun is entitled to con your cd bonus each you Both now we living with Peter Chun's mother who wa retireespea Assets et Peter and Mime 1. Tank deposit 5400,000.00 2. Mutual fund me 500.000,00 3. Share 5300,000.00 4 Life Insurance pro $1,000,000.00 (Mrs. Mini Chanely Axect of Peter Chan Mother 5. Select 53,000,000.00 centuale Liability * Current mortgage loam entstanding, including interest: 52.000.000.000 perto in 1 yes) Peter and Mini have an Mark, aged now. They would like to fund for Mark Assume Mark will stay in the Konferentiary educate the of I Peserpins to move out from his mother's aparmester 3 years purchase a flat nearby. The budget is $10.000.000 by the The current schild expenditure is 560.000 per month. Including mortgage payment HKD20,000. In addition, they want to gende 90 per to Peter's motetas pocket money atlet they move out Peter and Mimi want to seek advice from you anafancial planning expertise their financial goale In addition, you should also identify and geadriceschenk management position of the family Come Assumption Estimated average annual rate of inflation for the whole priat . YOU SHOULD MAKE ANY REASONABLE ASSUMPTIONS BY YOUR OWN TO FACILITATE THE CALCULATION 1. You should provide a fiumil plan wang detailed cases you achieve the proposed 2. To estimate the financial needs and we 3. To cakulate the difference between the mood on and the able To design and implement plans toute sufficient funds for aduce expenses (for the yours University way of Mark) and purchasing property