Imagine you are an investment advisor working with a client, Mark, who is 50 years old and has a moderate risk tolerance. Mark intends to retire at age 65. He has a total investable portfolio of $1 million and is focused on achieving a balance between growth and capital preservation. Additionally, Mark wants to ensure that he can manage his withdrawals during retirement.
Based on Mark's profile, develop a strategic asset allocation plan that balances his need for growth with his desire for capital preservation. Discuss how you would approach the development of this allocation, including the rationale for your choices and any adjustments you may consider over time as he approaches retirement.