An investment policy statement (IPS) is a blueprint used to design and implement an investment program. The policy statement outlines the plan’s principal objectives and its procedures for making and documenting investment decisions. SCLC [1] can help you develop a comprehensive, adequate and specific IPS that will:
- Document the prudence of the sponsor’s decision-making process
- Define how the plan will satisfy ERISA [2]’s diversification [3] requirements
- Improve the viability of the program by ensuring that investment decisions are made from a long-term, strategic perspective
- Streamline investment selection and monitoring by basing decisions on facts, not opinions
For more information about how to develop a prudent retirement plan IPS, download (in PDF form) our article Investment Policy Statements for Defined Contribution Plans [4].
For more information about to use an IPS to help select funds for a retirement plan, download (in PDF form) our article Using Investment Policy to Choose Asset Classes and Investment Funds [5].