Which of the following statements about portfolio management is TRUE?

Investment constraints include liquidity, time horizon, taxes, legal and regulatory concerns, and unique characteristics such as concern for social issues.

The order of the four step investment process is: analyze current financial and economic conditions, specify goals and constraints, allocate assets across asset classes, and monitor and rebalance the portfolio as needed.

An investor's portfolio (in the spending and gifting phase) should contain a sizable portion of equities to preserve capital over the long term.