The 9 Components you can use for an Investment Policy Statement (IPS)

Just like having a business plan before starting one. The investment policy statement (IPS) is an ideal place to start planning an investment portfolio. IPS is a document used by portfolio manager with his client to establish an understanding  of the client investments requirements in details.  It works as a manual to know what the purpose, objectives, responsibilities and limitations of the investment portfolio. Why is it Important? If you ever experienced investing am sure you will know what I mean. Investing in general feels like going through an emotional rollercoaster. It is influenced by ...Read More

August 4, 2020|Investment|

Investments Returns and the 4 Most Common Measurements

Suppose you purchased an apartment with the intention to rent it out for income. You want to record your investment performance, how would you measure its value and returns?   Types of Returns There are two key return measure of your apartment. 1) Increase of its value which is called capital gain in general, and 2) from rental income which can be from dividends or interest payments. Just to clarify the second point, dividends payment is a term referred to the amount distributed from the asset income (or apartment income in our example). The interest ...Read More

August 1, 2020|Investment|