Question Description

Asset allocation

This is a decision tree that you need to calculate probabilities scenarios using decision tree and risk analysis.

Assuming we have 50,000 to invest in stock, 10-year Treasury bonds, alternative investment (investing in real estate, startups or crypto-currency), and given the return and probability of achieving those returns in these assets (we need to do some research on the returns of each of these asset classes), how do we make the decision of where to invest? Our goal would be in the next 10 years, we can generate enough money to *protect* against inflation, for kids attending top-school in college (MIT, Harvard, Stanford, for example), and for an emergency situation (healthcare problems or natural disaster that might happen to us).