“1. XYZ has a young workforce, which implies a long duration of Plan
liabilities. This allows for an above-average risk tolerance due to low liquidity needs
and a longer time to make up funding shortfalls”
The above was picked up from a model answer
Is it necessary to right that xyz has above average risk tolerance in the answer?
They have mentioned above avg risk tolerance in every point/ justification of the answer.
I usually write my answers like as given below, will I get full points for this?
"XYZ has above average risk tolerance because:
XYZ has a young workforce, which implies a long duration of Plan
liabilities thus there will be low liquidity needs
and a longer time to make up funding shortfalls
Silly question, but wouldn’t want to lose points because of technicalities such as this one.