Portfolio_Pinggera_Foidl

Max Mustermann is an Austrian citizen and a young professional who started to work after having completed formal education. He found a job with average wage (~ € 2,000) in a field where the wage level won´t change dramatically in the subsequent years (e.g. government, administration, state-affiliated company). Mr. Mustermann worked during his studies and has due to that € 30,000 saved. He has currently € 5,000 on his bank account and € 25,000 in overnight money (Tagesgeld). He lives currently in a rental apartment in a city and potentially plans to buy a house but not before he turns 40, so he has a time horizon of at least 15 years. Objectives and risk management: • Long-term growth and capital preservation • Short-term liquidity needs: None • Risk profile: Dynamic (high growth) • Time horizon: Greater than 10 years • One-year loss limit (worst case scenario): 30-35% • Long-term rate of return expectation: 6% (based upon historical rates of return) The goal of the investment portfolio for Mr. Mustermann is to achieve long-term growth and capital preservation. For the near future there are no needs for liquidity and he also face a long potential investment period of at least 15 years. The client also stated a high one-year loss limit of 30-35%, specific in the current