$10 Million Portfolio Structure
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?
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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 ...
Solution Summary
The solution takes a look at how best to invest a $10 million portfolio in today's tough economic climate.
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