Thomas is 21 years old and just landed a job at Exxon Mobil in the oil field. He is looking forward to completing his first year on the job at which time he will be eligible to contribute to his companys 401(k) plan. He has been saving his money since he graduated from High School he has a 3 month Emergency Fund. He is wanted to invest some money but, doesnt know what kind of portfolio he should be looking into. He took the Risk Assessment Questionnaire and scored an 11. He is wanting to know what that means.

1. Identify the risk tolerance level of the individual(s). Describe what that means for their investment choices. (At least 3 sentences)

2. Recommend an investment portfolio based on that level of risk tolerance. Do this by suggesting how much of the investment pie should be devoted to each of the following: Cash and Cash Equivalents, Bonds, Stocks, Real Estate, and Alternative (or very risky) investments. Example: Cash 5%, Bonds 35%, Stocks 45%, Real Estate 14%, Alternatives 1%.