Stages in IPS time horizon

Cfai eoc reading 10 #9a

Stephenson soon expects to receive an additional $2.0 million from inheritance and plans to invest the entire amount in an index fund that best compliments the current portfolio.

The answer says his time horizon is only two stage. Is the time from now until he receives the inheritance not considered a separate stage because he expects it “soon”? I thought positive liquidity events generally deserve their own stage.

yea i had the same question, meant to bring it up. i was thinking about it the same way.

also in schweser they have en example of lady being laid off and plans to travel for next 6 months then she is comfident that she will get a job that pays her same or more money compare to now. so i put 3 stages (traveling, new job pre retirement, and retirement) - but the answer was just 2 stages (pre and retirement).

i believe on the exam you dont have to write the # of stages if its more than 1, i think saying multi stage is suffice…IMO

^ I put 3 stages for that laid-off lady too. I think as long as we can explain the stages and for CFAI just keep it simple by saying - “multistage”

I’ve seen past exam answers where CFAI says they will accept it both ways