Question

since Mike and Carole are nearing retirement age they are concerned with the need for their investments to provide income if you were a financial planner which of the following would you not recommend to Mike and Carole as an investment blue-chip stocks stocks of high growth companies corporate bonds government bonds or certificates of deposit

Answer 1

As a financial planner, I will try to first understand the needs and requirements of Mike and Carole. Their financial planning has to be in line with their needs and their financial goals. However, keeping their age in mind, I would suggest them to invest in governemnt bonds and certificate of deposit in more amount. The other options are a little risky for their age. The returns may be high from blue chip stocks and corporate bonds but the essential thing to be considered here is that Mike and Carole should have guaranteed returns from the investment. Therefore, based on their risk bearing ability the suggestion may be modified but it will consist of investment in government bond and certificate of deposit.