Morgan is 65 years old and has had a retirement portfolio for 40 years. She has about 2 years to go before retirement. Which breakdown of investments would a financial advisor most likely suggest for Morgan at this point?
A. 0% high-risk, 20% medium-risk, 80% low risk
B. 25% high-risk, 40% medium-risk, 35% low-risk
C. 45% high-risk, 30% medium-risk, 25% low-risk
D. 70% high-risk, 25% medium-risk, 5% low-risk
Brenton invested an average of $250 per month since age 39 in various securities for his retirement savings. His investments averaged a 6% annual rate of return unitl he retired at age 66. Given the same monthly investment and rate of return, how much more would Brenton have in his retirement savings had he started investing at age 25? Assume monthly compounding.
