JustAnswer > Finance
Ask A Question|Register|Login|Help
JustAnswer

Finance
Ask a Finance Question, Get an Answer ASAP!

Have your own Finance question?

2 Financial Professionals are Online Now
characters left:
Not a Finance Question?

Related Finance Topics:

  • Income
    • ,
  • Investment
    • ,
  • Retirement
    • ,
  • Expenses
Bookmark and Share

Question

Cliff Swatner is single, 33, and owns a condominium in New York City worth $250,000. Cliff is an attorney and doing well financially. His income last year exceeded $90,000, and he has sufficient liquid assets to supplement his condominium and other tangible assets. Several years ago, Cliff began investing in stocks and bonds. He made his selections on the basis of articles he read describing good investment opportunities. Some have worked well for Cliff, but others have not. Cliff has never taken the time to evaluate his portfolio performance, but he feels it isn't very good. Cliff currently has about $90,000 invested. He has been dating a woman lately and hopes to marry her in three years, at which time he will need $20,000 for marriage expenses and a honeymoon. Cliff's only other objective is to accumulate funds for retirement, but he does not have a specific dollar target for this goal. Cliff feels that he has a moderate risk-tolerance level.

Submitted: 25 days and 7 hours ago.
Category: Finance
Value: $30
Status: CLOSED
+
Read More

Optional Information

Country/State/Province of question: PA USA

Already Tried:
Explain some disadvantages of Cliff's current investment approach. Construct a portfolio for Cliff, limiting your selections to 5 mutual funds (assume that he sells his current stock and bond holdings). Make sure your plan indicates specific dollar amounts for each portfolio component. Make sure your plan also explains your selections for each portfolio component. Visit an investment firm that deals in mutual funds, such as, Vanguard.com, AmericanCentury.com, Fidelity.com, etc. and select 5 mutual funds that will diversify Cliff’s portfolio. Record the fund name, ticker symbol, 5 year average annual returns (can use 3 year if 5 year is unavailable), the amount to be invested in each fund, and the amount returned in 3 years using the 5 years average annual return for the wedding. Explain how Cliff should periodically rebalance his portfolio, indicating how frequently rebalancing should be done.

Accepted Answer

Hi Croth,

 

Click here for the solution.

 

Thanx

Picture
Expert: Falak Naz
Pos. Feedback: 100.0 %
Accepts: 
Answered: 10/28/2009

Accountant

I am a qualified Chartered Accountant. Currently i am working in financial institution.

+
Read More

Related Finance Questions

  • Hello, my father is in senior housing. His assets are a ...
  • Dart Corp. sales last year were $400,000, and its year end ....
  • Dallas Corp. issued 20-year, 7% annual coupon bonds at ...
  • Martha Ltd's outstanding bonds have a $1,000 par
  • I am 50 - My new spouse is 64. I have a 401 I received in ....
  • ABC's stock has a beta of 1.50, its required return is
  • Jenkins Company's last dividend was $1.00. Its ...
  • Assume that Brown Inc. hired you as a consultant to help it ...



Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.
Question List | Become an Expert | Terms of Service | Security & Privacy | About Us
© 2003-2009 JustAnswer Corp.