DQ 4: Based on what you have learned about the risk/return relationship, the various asset classes and the financial markets, how would you structure a $10 million portfolio in today's market environment?© BrainMass Inc. brainmass.com October 9, 2019, 10:38 pm ad1c9bdddf
With the turmoil in today's financial markets, it would be assumed that a tremendous risk would be rewarded with the potential for a great gain. However, with the great risk prevalent in today's market, diversification is certainly a necessity. With CD and money market rates at a relative low, I would divide $10 million into three categories: high risk, medium risk, and low risk.
First, I would invest 25% into the low ...
The solution takes a look at how best to invest a $10 million portfolio in today's tough economic climate.