Question

Your task is to act as an advisor and develop a financial investment portfolio for the following clients.

Russ and Wendy have saved $65,000, they are 35 and 32 years old respectively, and are interested in building a portfolio that will assist them when they retire at age 67. They are also willing to annually contribute 8% of their combined $85,000 salary. The salary is expected to increase at a rate of 4% per year until retirement. What investments would you recommend so they have a moderate risk, balanced portfolio? How much will they invest over the 30 +/- period? How much will they have when they retire? If they plan on living for another 25 years what would their income be?

develop a Mini-portfolio that will generate returns greater than the current money market. The report should include the investments chosen, the risk for each, the percentage of the portfolio each represent and the total return of the portfolio. This portfolio may include stocks, corporate bonds, government securities, certificate of deposit, money market accounts or other investments.

You MUST at a minimum:

Identify the investment plan for each client

Identify the amount of risk for each client

Select a variety of investments, provide a written description of each type selected or not selected.

Identify the risk for each investment

Provide a verified return for each individual investment and a weighted return for the investment type. (for example if you have $2000 in a stock with a return of 8%, $3000 with a return of 14% and $5,000 with a return of 12% you must determine the weighted average of the portfolio for stocks. Do the same thing for Mutual Funds or whatever you select)

Write a conclusion with your projected results.  

What type of investment should I look into? How do I begin a portfolio?

Answer 1