Risk Tolerance/Investment Philosophy Asset Allocation and Time Horizons 0-5 Years 6-10 Years 11+ Years 10% Cash 20% Bonds 100% Equities High Risk/Aggressive 30% Bonds 80% Equities 60% Equities 20% Cash 10% Cash 20% Bonds Moderate Risk/Moderate 40% Bonds 30% Bonds 80% Equities 40% Equities 60% Equities 35% Cash 20% Cash 10% Cash Low Risk/Conservative 40% Bonds 40% Bonds 30% Bonds 25% Equities 40% Equities 60% Equities Suppose that Amelia is beginning a long-term investment plan for her retirement savings. She plans to retire at least 25 years in the future, so she has plenty of time for her investments to grow. Because Amelia is investing for the long term, she has a high risk tolerance and would like to grow her investments as aggressively as possible. Amelia is investor with a time horizon of Using the asset allocation provided, what is the ideal asset allocation for Amelia's portfolio, based on her time horizon and investment philosophy? If your answer is zero enter "0". Recommended asset allocation for Amelia's portfolio: Cash: % Bonds: % Equities: % In general, if you have a longer time horizon and a higher risk tolerance, then a higher percentage of your portfolio should be in But if you are investing for a shorter time horizon, or if you have a more conservative investment philosophy, then you should invest a greater percentage of your portfolio in