Investment Policy Statement


Also found in: Acronyms.

Investment Policy Statement

In a discretionary account, an agreement between a portfolio manager and a client stating the client's needs and desires with regard to the portfolio. That is, the IPS states how the client expects the portfolio to perform and what the portfolio manager may and may not do in order to achieve this goal. The IPS prevents misunderstandings, such as when the manager takes on too much or too little risk for the clients investment goals. See also: Asset management.
References in periodicals archive ?
Edwards is the seventh governor to issue a formal Open Investment Policy statement in conjunction with efforts by the Organization for International Investment, or OFII.
Review the plan's documents, particularly the investment policy statement.
Complex derivatives, glide-paths, and altered investment policy statements are another.
This is why an investment policy statement is so important.
Although there may be exceptions to this rule an investment policy statement is still considered good practice as it should be fit for the purpose of acting as a public document viewed by the charities donors, sponsors, beneficiaries and employees, as well as embodying the investment framework within which an appointed investment manager is to operate.
IPS AdvisorPro(R) and Legent Clearing have announced a strategic alliance to offer Investment Policy Statement software to Legent Clearing clients.
When making a donation to a foundation, ask for a copy of the Investment Policy Statement of the foundation.
employers have at least one written investment policy statement, according to Investment Policy Statements, the latest survey in the International Foundation of Employee Benefit Plans' Survey & Sample Series.
One thing that would help would be to create an Investment Policy Statement, a written guide against which all your investment decisions should be ratified.
A new investment policy statement might be required, a portfolio proposal generated, a report printed, trades would have to be made, etc.
Writing out an investment policy statement also can help clarity the couple's overall financial goals and restrictions, and minimize differences down the road.
Since one of the keys to passing on wealth is preventing the loss of your principle investment, Okoebor worked with Tucker to create an investment policy statement that provided a guideline of how the portfolio would combine stocks, bonds, and other fixed-income vehicles to minimize losses.