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Please be detailed, I need help with this analysis for a client. Thank you! Here is the information you need about the hypothetical client. -
Please be detailed, I need help with this analysis for a client. Thank you!
Here is the information you need about the hypothetical client. - Name, Tommy Redford - 45 years of age. - Employed by an oil producer. - Already owns a paid-off $350,000 home (no mortgage exists) - Moderate risk tolerance (i.e. does not want a 100% stock portfolio). - Currently has $500,000 in a taxable account and $500,000 in his 401(k ) (see Excel for position details). No withdrawals will be made until retirement in 20 years. - Makes $105,000, spends $80,000, and saves the other $20,000. - Wants to continue spending $80,000 throughout retirement, and does not have any gifting interest or bequests at death. He would like advice on his current investable assets and what/where he should contribute the $25,000 in excess cash flow. Part I The purpose of Part I is to find the client's capital needs and decide on an initial asset allocation. - Submission: 1 Page Justify the client's capital needs now and at retirement. Justify the initial asset allocation. Does he have too much risk? \begin{tabular}{l|c|lccl} & \multicolumn{1}{|c}{ A } & B & C & \multicolumn{2}{c}{D} \\ \hline 1 & 401K & Position & Ticker & \multicolumn{1}{l}{ Value } \\ \cline { 2 - 5 } 2 & & T. Rowe Price Retirement 2035 & TRRJX & $500,000.00 \\ \hline 3 & & & & $500,000.00 \end{tabular}Step by Step Solution
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