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CFA Level 3
Portfolio Management and Wealth Planning

Purpose of Strategic Asset Allocation

Very Easy Asset Allocation Strategic Asset Allocation

Lisa is a financial planner working with a young couple, Sarah and Tom, who have a long investment horizon of 30 years before retirement. They have a high-risk tolerance and are looking to invest a significant portion of their savings for maximum capital growth. Lisa is considering various investment strategies but emphasizes the importance of having a strategic asset allocation approach to align their investments with their long-term goals.

What is the primary purpose of implementing a strategic asset allocation for Sarah and Tom's investment portfolio?

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