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Sammy is a 23 year old Finance major. He understands the relationship between risk and reward and is less risk averse than most of his
Sammy is a 23 year old Finance major. He understands the relationship between risk and reward and is less risk averse than most of his peers.
Which portfolio allocation would be most suited to Sammy?
A. | 10% small cap stocks, 60% corporate bonds, 30% bank CD | |
B. | 75% small cap stocks, 15% corporate bonds, 10% T-bills | |
C. | 10% small cap stocks, 70% corporate bonds, 10% large cap stocks, 10% emerging market stocks, | |
D. | 5% small cap stocks, 80% US Treasury bills, 5% large cap stocks, 10% emerging market stocks |
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