Schweser Exam 2PM - Q21.1

Can anyone explain to me why this is the case? I thought all foundations, endowments, pension should practice the asset liability mgmt approach. Individual investors practice the asset only approach? Your answer: B was incorrect. The correct answer was A) Since Hope is only concerned with the foundation’s spending rate, an asset-only approach (AO) is appropriate. If Hope considers a large capital spending program, the asset-liability approach (ALM) is appropriate.