3.Since Joe is a risk seeking person, some medium to high risk mutual funds will be recommended. The amount that Joe is able to invest in mutual funds is RM 5000. This small amount of money is more suitable to be invested in a short-term period since Joe is planning to have an additional child 2 years later. First of all, the high-risk mutual funds that is recommended to Joe is the RHB GOLD AND GENERAL FUND. The risk rating for RHB GOLD AND GENERAL FUNDS is at 10 out of 10 which indicating a very high risk. Thus, the return of this fund is 33.89 % from the performance of last year. Another mutual fund is the United Malaysia Fund - Class A. This fund generated 64.30% of return annually which possibly can make Joe's RM 5000 to RM 13497.25 in two years of time. The charges of this fund are considered low as well which are 1.75% of sales charges and 1.5% of annual management fee. You are required to make sound assumptions that would allow academic discussion in your report with primary consideration to risk and return.