Your Grandma generously gave you a $15K non-taxable gift* this year. She has requested that you keep $5K for your Emergency Fund and invest $10K in individual stocks, stock ETFs, and bonds.

1. Explain to her in simple terms what the difference is between a stock and a bond.
2. What is your Asset Allocation for investing the $10K (% stocks and % bonds/cash)?
   • Are you a risk taker or are you more risk averse?
   • Is your financial planning horizon short term, intermediate, or long term?