Who: David Moehlman
Annual income: $113,000
Assets: $1.7-million net worth: $491,000 in five condominiums, $690,000 in mutual funds and savings accounts, and $542,000 in mutual fund retirement accounts
Recommendations: Diversify $1.2 million invested 100% in mutual funds exclusively holding U.S. stocks: Put 50% into funds holding U.S. stocks, 13% into funds holding international stocks and 30% into funds holding bonds. The remaining 7% should go into checking and savings accounts. Keep saving into retirement accounts for tax-deferred asset growth and lower personal income tax bills. Buy no more real estate, to limit exposure to an earthquake or a real estate shock.
About the financial planner: Sandra Field is the founder of Asset Planning Inc. in Cypress.