Investor Policy Statement


#1

Do you have an Investor Policy Statement (IPS)?

What is:
https://www.bogleheads.org/wiki/Investment_policy_statement

Some examples:
@thepoorswiss : https://thepoorswiss.com/my-investor-policy-statement-you-need-one-too/
@MrRIP : https://retireinprogress.com/ips/
@Mr.HdLR : http://www.hippiesdelandrover.com/hdlr-nuestra-declaracion-de-normas-de-inversion-investor-policy-statement/
@Julianek : Julianek's journal


#2

#3

#4

Thanks for sharing @Mr.HdLR and @Julianek :+1: I’ve updated the first post with your links.


#5

Thanks @ajPT, I’ve realised I need to allocate some time to write my IPS down. It’s in my head, but it’s not specific enough.


#6

I have an Investment Policy Statement that I wrote about five years ago and have stuck to so far. It says to hold (age-5)% in bonds (IEAG) and the rest in stocks (VWRL). Once per year I check the balances and if the allocation has drifted more than 5% from those targets then I rebalance by selling some of the high one to buy the low one.

House, mortgage and Pillar 2 are not currently considered in these plans. It would be nice to make a revision that is more complete one day.

I am generally happy with this approach. I do feel like my risk tolerance would allow me to hold more stocks but I am happy to be a little conservative. I could be overestimating my risk tolerance since stocks have been performing so well since I started investing in index funds.