Cash Investment Policy Statement
Instituting a cash investment policy statement
A cash investment policy statement (cash IPS) lets an organization define its short-term investment objectives and the strategies for achieving them. It creates a sound foundation and promotes consistent, long-term discipline in decision-making through all market conditions, so that crucial liquidity and investment goals may be met.
Many organizations continually reassess and update their cash IPS to adjust to ever-changing regulatory, political and market conditions. Have you updated your cash investment policy recently?
A Guide to Writing an Investment Policy
1. What is a cash investment policy statement? A sound foundation for cash investment decisions
2. How to develop a cash investment policy statement: Beginning the process
3. The components of a cash investment policy statement: Building out the policy
4. Roles and responsibilities: Who institutes a cash investment policy statement?
The below PDF outlines the framework that contains the most common elements in a typical investment policy.
The document also includes sample language for your consideration that can be customized to fit any organization’s needs.