# Investment Policy Statement (IPS)

*Professional & Ethics — Finicade finance glossary*

The written plan setting a client's goals, risk tolerance, time horizon and constraints — the contract that keeps investing disciplined instead of reactive. Every good portfolio starts with one.

**Also known as:** objectives-and-constraints, investment policy statement

**Related terms:** [Asset Allocation](https://finicade.com/glossary/asset-allocation), [Risk Tolerance](https://finicade.com/glossary/risk-tolerance), [Fiduciary Duty](https://finicade.com/glossary/fiduciary-duty)

**Taught in:** Charter Climb — Portfolio Planning & the IPS

Source: https://finicade.com/glossary/ips