24/7 turnout if possible, in as larger an area of pasture that you can possibly give them. If stabling even for a short time is necessary, then again as big a space as possible. Walks in hand in straight lines, plus gentle hill work and, as others have said, include walking over poles - but remember not to turn in a small circle when returning to re-walk the poles, and each time you do a large curve to return to the poles, remember to change the direction of the curve each time, never keep turning in the same direction, especially with a youngster, or you will end up with a horse that bends easily in one direction only!
And dont forget a companion to play with while living out if possible.