Creating a Strategy and Plan for Your Foundation’s Investing: Developing and Using an Investment Policy Statement

Developing an Investment Policy Statement (IPS) sets the course for managing your foundation’s assets through time. It also reinforces how your investment policy and practices will help to achieve your foundation’s mission and goals.

This primer describes how to develop your IPS and guides you through three main tasks, including:

  • Making strategy decisions that lay the groundwork for your IPS.
  • Developing your asset allocation policy, which determines how your foundation’s assets are invested.
  • Developing your written IPS, which states your investment goals, asset allocation policy, benchmarks for evaluating performance, investment duties and responsibilities, and more.

Creating an IPS is one foundation task that has big effects. The time and resources you spend now will pay off in smoother coordination, greater efficiency in money management, more confidence about money, less anxiety, and perhaps better investment returns!

60 pages