Question: 10. The correct statement is______________. A. When you expect your income tax rate to be higher when you retire, then ROTH IRA is preferred than

10. The correct statement is______________.

A. When you expect your income tax rate to be higher when you retire, then ROTH IRA is preferred than a traditional IRA.

B. 100 Rule of Thumb can be used to determine the asset allocation between stock and bond. For instance, for a 40 years old individual, 40% of his/her portfolio can be invested in stock market.

C. CalPERS or California Public Employees Retirement System is one of the large defined contribution pension funds in the US. It reported $370 billion in total assets at the end of the fiscal year of 2019.

D. Normally speaking, as an individual investor (retail investor), you are not able to buy the IPO before it goes to the public. Only institutional investors or big names have the privilege to buy the shares (buy low). This is the so-called secondary market.

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