Part A, Many college students don't consider retirement plans or investment opportunities because they don't like to
Question:
Part A, Many college students don't consider retirement plans or investment opportunities because they don't like to think that far into the future." With reference to the above statement, answer the following questions: 1. When is the ideal time to start thinking and accumulating funds for retirement? 2. Why is the topic of retirement planning becoming so important in this era? 3. Investment options that one can choose to accumulate wealth for retirement. 4. Various types of risks that one can face when planning for retirement.
Part B: Suppose you have $10,000 that you can use for retirement planning investment. A diversified portfolio to be made so you are able to invest the funds in the most optimal way. Assume that currently, you are 30 years of age. Required: 1. Clearly state the amount that you will be investing in each of the assets. 2. Estimate the future value of your portfolio when you turn 55, the retirement age.
At the end, comment on whether the portfolio you have just created above will be able to provide you with adequate income/wealth security or not post-retirement. For (2): - If you are investing in a savings account or a term deposit, select any Financial Institution of your choice and use their rates for necessary calculations.
- If you are investing in a property trust fund, you can assume a rate of return. - If you are investing in the share market, select up to the 3 best companies to invest in and use their dividend, share price, and growth information for necessary calculations.
Introduction To Health Care Management
ISBN: 9781284081015
3rd Edition
Authors: Sharon B. Buchbinder, Nancy H. Shanks