Question: (a) If Lola invests $3000 annually into two growth mutual funds, which two types would you recommend and why? (b) Alternatively, if Lola invests $3000

(a) If Lola invests $3000 annually into two growth mutual funds, which two types would you recommend and why?
(b) Alternatively, if Lola invests $3000 annually into two growth and income funds, which two would you recommend and why?
(c) Summarize why these four types of mutual funds might be suitable for Lola.

Lola Garcia, a single mother of a 6-year-old child, works for a utility company in Chestertown, Maryland, and is willing to invest $3000 per year in a mutual fund. She wants the investment income to supplement her retirement pension starting in approximately 30 years, and she has a moderate investment philosophy. Lola is concerned about not investing too conservatively because she expects to live a long life, given that her eldest relatives lived well into their 80s and early 90s. Advise Lola by responding to the following questions:

Step by Step Solution

★★★★★

3.50 Rating (163 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

a Lolas employer provides a pension that she can depend upon assuming ... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

355-B-C-F-G-F (1046).docx

120 KBs Word File

Students Have Also Explored These Related Corporate Finance Questions!

The Cost of small calculators may be presented as expenses instead of being capitalized as Assets. Which of the following Pervasive Principles & Concepts is likely to be used to make the Accounting...

What are the benefits of the corporation in comparison with the partnership and proprietorship structures? How is equity treated and reported differently in this structure?

A mutual fund company has 6 funds that invest in the U.S. market and 4 that invest in international markets. A customer wants to invest in two U.S. funds and 2 international funds. a. How many...

34 Standalone 2001 Ivey Publishing W1B727 VANDERBILT FINANCIAL SERVICES: ASSESSING FUTURE OPPORTUNITIES com ww ws Draw or con The din names and the proteconly De won the authors may have disguised...

Instructions 10% Deduction for Each Day Late Create a current state map for the mailroom operation for categories 1-3 (page 6). Start your value stream map with delivery of the mail to ING. ....

Can anyone help me with this or already have the solution this whole Finance Workbook for Madura Personal Finance, Third Edition by Jeff Madura BUILDING YOUR OWN FINANCIAL PLAN WORKBOOK INDEX Chapter...

please check the file, I looking for solution Create a mutual fund investment plan for Nancy Williams assuming that she has net after tax cash flow of $2,300 per month in conjunction with her wealth...

Hi. I need Chapter 11 part 1-4 Let me know. Thanks! (it wont letme add more than $8, but I will give $12+ tip) Personal Finance, Fifth Edition by Jeff Madura BUILDING YOUR OWN FINANCIAL PLAN WORKBOOK...

1 What are the main components of personal financial planning? Solve What is the purpose of a financial plan? Solve Identify some common actions taken to achieve financial goals. How does a job...

The AMB Consolidation On August 13, 1997, Anne Shea of the Curators' Fund (the Fund) sat in her office overlooking downtown Kansas City, knowing she had to decide her position on the proposed...

Subject; Strength of Materials 1. [25 pts.] The W10 x 54 simply supported beam is made of A992 steel and is subjected to the loading shown. Determine the deflection at its center. 300 N 600 N 2 m 1 m...

Liana Ltd bought a bank bill on 7 January 2012 for $976 751 and sold it on 3 March 2012 for $987 618: a. What simple interest rate (annual rate) did Liana Ltd earn? b. What annual effective interest...

Indicate whether the following statements are true or false. Answer 1 TrueFalse 1 . If a contingent liability is both probable and estimable, it should be recorded as a liability on the balance...

In the situation of Exercise 9, find the Bayes estimator of under loss k L(0, a) = (0,-a,)2. i=1 Show that the Bayes risk of the estimator is - (+1)(+n) where ao =30

Why does the value of a home depend on the demand for homes? What factors influence the demand for homes?

How do lenders protect their interest in a home? Describe two government-backed home loan programs.

What are closing costs? List and briefly describe the different closing costs you might incur when applying for a mortgage.

(1) Let f : [n] r [n] be a permutation. Axed point of f is an element x E [n] such that f(x) = x. Now consider random permutations of [n] and let X be the random variable which represents the number...

Need help with statistics. The following table shows samples of the food bills for patrons at two restaurants (measured in dollars, before taxes) You could copy and paste these data into a workbook,...

GreenStudio Yoga is considering keeping their virtual studio. The percentage of young adults practicing yoga and the average frequency per week are to be determined. The manager wants to be 95%...