As an investment advisor for Wealth Securities Inc., you had just met with a potential new client, Lisa Wilson.
finance
Description
As an investment advisor for Wealth Securities Inc., you had just met with a potential new client, Lisa Wilson. Your task was to help Lisa to analyze the current positions and returns of some of the securities currently held by her and recommend a new investment portfolio to her that is consistent with her risk and return objectives.
THE CLIENT
During the initial meeting, Lisa indicated that her investment return objective was to earn a 9% total
return per year. You helped her assess her risk preferences and it was concluded that she could
accept up to a 20% portfolio volatility, measured by standard deviation in her portfolio in any one
year.
PREVIOUS ADVICE
Lisa indicated that she was seeking advice regarding the two existing investments she has. Below is
the information regarding the two investments.
