Options
- A
Only statement A is correct
-
Only statement B is correct
Correct answer
- C
Both statements A and B are correct
- D
None of the above
Why this is the answer
Asset allocation should be based on an investor's risk profile, not just their age. Core and satellite portfolios are customized according to individual preferences and goals. Statement A is incorrect because investors of the same age can have different financial situations, goals, and risk tolerance, which affect their asset allocation.
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