a. Thomas is a System Analyst aged 40 and plans to retire in 15 years. His current portfolio includes $7 million cash and mutual funds (international stock and bond funds which can be liquidated easily into cash) plus a free-of-mortgage property with a current market value of $10 million. He predicts that $25 million should be sufficient for his retirement to cover the living, medical, entertainment and emergency expenses etc. Assume that he can contribute at least $150,000 every year to his retirement fund, use the financial calculator to calculate the approximate annual rate of return he must get from his $7 million funds and future contributions (excluding the property) to achieve his retirement goal. (Show your calculations clearly and keep your answer in 2 decimal places). (5 marks)

b. Based on your answer, what is/are the investment products that may be suitable to him ? (5 marks)