Investing Policy Statement Skill

The biggest investing mistakes are behavioural — panic-selling, chasing, tinkering. A personal Investing Policy Statement is the rulebook you write while calm, to follow when you're not. This skill drafts one: goals, risk tolerance, a target asset allocation, and the contribution/rebalancing rules that keep you on track. It's educational and generic — not personalized financial advice or a recommendation of specific securities.

Required Inputs

Ask for these only if they aren't already provided:

• Goals & time horizon — what the money is for and when it's needed (retirement in 25y, house in 5y).
• Risk tolerance — how they'd react to a 30% drop; capacity for loss; experience level.
• Current situation — roughly what's invested where, monthly amount to invest, account types available.
• Constraints / values — liquidity needs, ESG preferences, things to avoid.

Output Format

Investing Policy Statement — [name]

1. Purpose & goals — what this portfolio is for, time horizon, target.

2. Risk tolerance & capacity — a plain-language statement of how much volatility is acceptable and why.

3. Target asset allocation — broad asset classes with target % and a tolerance band (illustrative example, to adapt):

Asset class	Target %	Rebalance band
Equities (broad, diversified)	%	±5%
Bonds / fixed income	%	±5%
Cash / short-term	%	±5%

4. Contribution rules — how much, how often, automated; the order of accounts to fill (e.g. employer-match first, then tax-advantaged).

5. Rebalancing rules — when (calendar or band-triggered) and how.

6. What I will NOT do — the behavioural guardrails (no panic-selling in a downturn, no performance-chasing, no market-timing, no single-stock gambles beyond X% of the portfolio).