As a financial advisor, you are preparing a strategic asset allocation plan for a new client, Sarah. Sarah is 38 years old and has a moderate risk tolerance. She intends to invest for both long-term growth and some income generation, as she plans to purchase a home in the next 5 years. Initially, she has expressed a preference for a diverse portfolio that balances stocks and bonds. Given her investment horizon and risk profile, you will need to decide on the appropriate allocation between equities and fixed-income securities.
Which of the following allocations would be most aligned with Sarah's objectives and risk tolerance in a strategic asset allocation framework?