{"enrichment":{"faq":[{"a":"investment-policy helps you build a comprehensive Investment Policy Statement by guiding you through defining return objectives, assessing your risk tolerance across both financial ability and psychological willingness, documenting constraints (liquidity, time horizon, legal, tax, unique), and establishing strategic asset allocation ranges. The process ensures your portfolio strategy is documented, disciplined, and aligned with your financial goals.","q":"How do I create an investment policy statement?"},{"a":"investment-policy distinguishes risk ability\u2014your financial capacity to withstand losses based on time horizon, income, and assets\u2014from risk willingness, your psychological comfort with volatility. Reconciling these is critical: high ability but low willingness requires conservative positioning; high willingness but low ability demands restraint. The skill helps you assess both dimensions and resolve conflicts.","q":"What's the difference between risk ability and risk willingness?"},{"a":"investment-policy guides you through calculating required return by analyzing your spending needs, time horizon, and financial obligations. For endowments and foundations, this often involves determining a sustainable payout rate (typically 4\u20135% annually) plus inflation protection. The skill helps you set realistic return objectives that balance growth needs with your risk profile.","q":"How do I calculate my required return?"},{"a":"investment-policy templates cover return objectives, risk tolerance assessment, constraint documentation (liquidity, legal, tax, unique factors), strategic asset allocation ranges, rebalancing discipline (threshold vs. calendar-based), benchmark selection, and manager evaluation criteria. The framework ensures your IPS is comprehensive, actionable, and reviewable annually.","q":"What should an investment policy statement template include?"},{"a":"investment-policy helps you choose between threshold-based rebalancing (triggered when allocations drift beyond set bands) and calendar-based rebalancing (quarterly, annually). Threshold approaches minimize trading costs but require monitoring; calendar approaches are disciplined and systematic. The skill guides you in defining ranges and frequency aligned with your constraints and costs.","q":"How do I set a rebalancing policy\u2014threshold or calendar?"},{"a":"investment-policy covers benchmark selection (market-representative, investable, appropriate to strategy) and manager evaluation using frameworks like the Five Ps (people, philosophy, process, performance, price). The skill helps you document selection criteria, performance evaluation methods, and replacement triggers in your IPS for consistent, objective decision-making.","q":"What criteria should I use for benchmark and manager selection?"}],"shadow_tags":["governance-framework","liability-matching","behavioral-risk","tactical-tilting","institutional-investing","multi-stage-planning","performance-benchmarking","fiduciary-documentation","constraint-reconciliation"],"summary_rewrite":"Construct Investment Policy Statements that govern portfolio strategy by defining return objectives, assessing risk tolerance across financial capacity and psychological comfort, documenting constraints, and establishing asset allocation ranges and rebalancing rules. Includes frameworks for endowment spending policies, manager selection criteria, and benchmark selection."},"files":[{"bytes":10019,"path":"plugins/wealth-management/skills/investment-policy/SKILL.md","sha256":"8a0df6bf4b01f7359a24f4c7964c83de4e1f71449a159ad074ef54c82cbd5397","url":"https://skillfed.io/files/JoelLewis/finance_skills/investment-policy/f1d16558/SKILL.md"}],"id":"JoelLewis/finance_skills/investment-policy","links":{"html":"https://skillfed.io/JoelLewis/finance_skills/investment-policy","md":"https://skillfed.io/JoelLewis/finance_skills/investment-policy.md","repo":"https://github.com/JoelLewis/finance_skills"},"meta":{"agents_supported":[],"first_seen":"2026-07-28","forks":32,"language":"Python","last_updated":"2026-07-18","license":"MIT","name":"investment-policy","publisher":"JoelLewis","stars":159},"relations":{"similar":[{"id":"JoelLewis/finance_skills/client-review-prep"},{"id":"JoelLewis/finance_skills/retirement-decumulation"},{"id":"JoelLewis/finance_skills/savings-goals"},{"id":"JoelLewis/finance_skills/performance-reporting"},{"id":"JoelLewis/finance_skills/proposal-generation"},{"id":"JoelLewis/finance_skills/financial-planning-integration"},{"id":"JoelLewis/finance_skills/finance-psychology"},{"id":"anthropics/financial-services/client-report"},{"id":"JoelLewis/finance_skills/portfolio-management-systems"},{"id":"JoelLewis/finance_skills/rebalancing"}]},"slug":{"owner":"JoelLewis","repo":"finance_skills","skill":"investment-policy"},"version":"f1d16558"}