Please construct an investment portfolio that is appropriate for your client:

She is 60 years old and plans to retire within 5 years.

She has $4 million to invest.

She is primarily interested in creating steady income from the portfolio. Her goal is $120,000 per year.

She is also concerned about inflation and therefore wants the portfolio value and income to keep pace with inflation.

The portfolio must be diversified with stocks, bonds, cash, etc.

She is willing to assume a moderate level of risk. You must consider stock market risk and bond risk (e.g. duration):

Please calculate the beta for each holding where available.

Please calculate duration for each where available. https://www.youtube.com/watch?v=i8iqrhdRoo8

All securities must be publicly traded securities. Mutual funds and ETFs must have at least a 5 year track record. Please show actual performance of portfolio for last 5 years.

Please show the allocation and annual income for each investment position in the portfolio.

Please include the following 3 "stress tests":

10% decline in S&P 500 index, no change in interest rates

20% decline in S&P 500 index, no change in interest rates

0% decline in S&P 500 index and a 1% increase in interest rates

Please calculate the annual expenses in the portfolio (e.g. mutual funds and exchange traded funds)

Here are a few helpful suggestions:

Performance (Stress Tests) need to include a securities level analysis. For example, each stock (or fund) should be tested against its' respective Beta.

If you are including bond funds in your portfolio, you can easily get the Duration on the fund managers website.

If you are using CDs in the portfolio, you can assume the Duration is equal to the maturity date of the CD.

Remember, that your client wants the value of the portfolio to keep pace with inflation. This is why you should only use securities that have a track record of at least 5 years. You can assume that the future performance of the portfolio will be equal to the past performance.

Firewood received by a music teacher In return for violin lessons would not be included in GDP O True O False D Question 21 1 pts The label "frictional unemployment" is used to describe individuals who are out of work while they are changing jobs. True False D Question 22 1 pts Net foreign factor income - +25 means that US resources earned more (25) in other countries than others (foreigners) earned in the US. True OFabe D Question 23 1 pts Natural Rate of Unemployment usually means zero unemployment, i.e. no frictional, structural or cyclical unemployment. TrueQUESTION 30 The rule of 70 states that O the number of years it takes an economy to double in size is the growth rate divided by 70. O the number of years it takes an economy to double in size is 70 divided by the growth rate. the number of years it takes an economy to double in size is the growth rate times 70. it takes an economy 70 years to double its real GDP QUESTION 31 Matt works only part-time due to the not so ideal economy situation in Connecticut, he is willing and activel time job even though he has a part-time job. In a normal calculation of U6, as measured by the BLS, Matt w Included in both the numerator and denominator Included in the denominator only O Included in the numerator only Not in Not included in either the numerator or denominator QUESTION 32QUESTION 25 An underperforming economy is one where O A. Actual real GDP is below the full employment level of GDP. O B. Workers' job performance lags due to slow changes in technology. O C. Actual real GDP is higher than the full employment level of GDP. O D. The full employment level of GDP is almost equal to actual real GDP.Question 19 1 pts Use the following hypothetical data in TABLE 7 to calculate GNP. Note: Exports are negative 267, that is, there is a minus sign before 267. Enter your answer as a number only. That is, don't put any comma or period signs. TABLE 7 Billions of dollars Net Exports -267 Dividends 50 Capital Consumption Allowance 203 Government expenditures 377 Rents 260 Value of Intermediate goods 300 Indirect business taxes 155 Wages 900 Corporate Income taxes 95 Interest 160 Proprietor's income 132 Personal Consumption expenditure 1600 Undistributed corporate profits 85 Gross private domestic investment 330 NFFI 0