Assessing Strategic Asset Allocation for Risk-Averse Investors

Strategic asset allocation is a long-term investment strategy that involves setting target allocations for various asset classes and periodically rebalancing the portfolio to maintain these targets. It takes into account an investor's risk tolerance, time horizon, and investment objectives.

Consider the following statement about strategic asset allocation:

A portfolio manager is creating a strategic asset allocation model for a client who is risk-averse and approaching retirement. The manager chooses a higher percentage of fixed income investments compared to equities, anticipating lower volatility and steady income generation.

What can be inferred about the chosen strategic asset allocation?