💥 Create Your Investor Policy Statement in 10 Minutes 💥

Your financial rock. Your compass. Your plan for when the world goes bananas.

Updated article coming soon! For now, we have replaced the google form below with an Investor Policy Statement template that you can take a copy of and make your own! Make sure you’re logged into google to be able to make a copy.

🧭 Why You Need an IPS

Imagine this: the market drops 30%. The headlines scream “This time it’s different!” Your stomach flips. You’re tempted to sell everything and hide under the duvet with a tub of Ben & Jerry’s.

But wait — you’ve got an IPS. Your Investor Policy Statement is your written plan. It’s what you follow when emotions run high and the financial world feels like The Empire Strikes Back. It’s your Yoda. Your Mr. Miyagi. Your Doc Brown.

It says:

“Here’s what I do when the market crashes.”
“Here’s how I invest, rebalance, and stay the course.”
“Here’s what I believe about money and freedom.”

It’s not just a document. It’s your financial manifesto.

🛠️ What’s in an IPS?

Your IPS has five simple sections:

1. Goals – What are you building or living from?
2. Philosophy – What do you believe about investing?
3. Asset Allocation – Where’s your money going?
4. Drawdown – How will you take money out?
5. Rebalancing – How will you keep your plan on track?

Whether you’re in the Build It, Bridge It or Live From It phase, your IPS helps you stay calm, clear, and confident.

Here’s a full workshop on how to create your own IPS with the Donegans guiding you through filling out every section. Find an hour one evening, put this on the big screen and create your own version alongside us.

This workshop pulls together all the learning from Rebel Finance School into your very own IPS.

HUGE thank you to Bob Haines for inspiring this tool, workshop and helping us to create it all. Bob thank you for your contribution to the Rebel Finance School Community.

🧭 What’s in an IPS?

Your IPS is made up of five simple, powerful sections. Think of it like assembling your own Avengers team — each part plays a role in protecting your financial future. Let’s break it down:

🎯 1. Goals

Your investing “why.” What are you building toward?

This is where you dream big. Your goals are the destination your Freedom Fund is taking you to. They’re not savings goals like “buy a car” — they’re investing goals like “buy my first asset” or “build a £1M Freedom Fund” or “retire early and live off £40k/year.”

Examples:

• “Hit £100k invested by xx/xx/xxxx”
• “Build a £1M Freedom Fund by my 61st birthday”
• “Fund my kids’ education with £50k invested by 2035”

💡 Think about what financial freedom looks like for you. What number? What lifestyle? What legacy?

🧘 2. Philosophy

Your mindset. Your beliefs. Your investing code.

This is your financial Jedi training. Your IPS philosophy helps you stay calm when the market crashes and everyone’s panicking like it’s Ghostbusters II. It’s your reminder to stay the course.

Examples:

• “Invest in low-cost global index funds and accept average market returns”
• “Time in the market beats timing the market”
• “Ignore the noise and stick to the plan”

💡 Ask yourself: What do I believe about investing? What helps me stay grounded when things get rocky?

📊 3. Asset Allocation

Where your money goes. Your investing recipe.

This is your mix of investments — how much goes into global stocks, bonds, or other assets.

This is where the traditional financial advisors will talk about risk, which we all know actually means volatility. This is the part where you think about your own volatility tolerance (bearing in mind that volatility is part and parcel of investing in the stock market!)

Most advisors change the assets you invest in based on your “risk” tolerance rather than helping you see the difference between risk and volatility and becoming comfortable with market ups and downs. Read Is it Risky to Invest in the Stock Market for more.

The Rebel Finance School strategy is to be 100% global equities in a simple index fund whilst building your Freedom Fund. Financially free folks might dial down volatility with bonds. It’s like choosing your pizza toppings: keep it simple, but make it yours.

Examples (Freedom Fund Builders):

• “100% FTSE Global All Cap Index Fund”
• “Target 100% global equities or similar if not available”
• “Use my workplace pension and ISA to invest in global funds”

Examples (Financially Free):

• “80% VTI, 17% VBTLX, 3% Cash”
• “60% global stocks, 38% global bonds, 2% Cash”
• “100% global index fund — I’m comfortable with volatility and I have planned other SoRR mitigation strategies to use instead”

💡 Think about your risk volatility tolerance. Are you okay with market swings, or do you want a smoother ride?

💸 4. Drawdown

How you’ll take money out. Your retirement strategy.

This is the part most people forget — until they’re staring at their portfolio wondering, “Now what?” Your drawdown plan helps you know how and when to start using your investments. It’s your financial parachute.

If you are still building your financial freedom fund you do not need to think about this too much until nearer the point of retirement. Just choose a date here that you will start to learn about this stuff.

Examples:

• “Withdraw 4% annually, adjust if markets dip”
• “Use ISA first, then pension, then taxable accounts”
• “My SoRR Mitigation strategies are flexible spending and phased retirement”

💡 Ask yourself: When will I start drawing down? What accounts will I use first? How will I adjust if the market dips?

🔄 5. Rebalancing

Keeping your plan on track. Your financial tune-up.

Over time, your investments drift. Rebalancing is how you bring them back in line — like tuning your guitar before a gig. It’s not about perfection. It’s about consistency.

Examples:

• “Annually in January, back to 100% global index fund”
• “Only if my allocation drifts more than 3%”
• “On my partner’s birthday because how else would you celebrate another year alive?”

💡 Decide how often you’ll rebalance and what triggers it. Keep it simple and stick to it.

💬 Final Rebel Rally Cry

You’re not just investing. You’re building freedom.
Your IPS is your anchor when the waves hit. Your compass when the fog rolls in. Your Back to the Future moment — where you take control of your financial destiny.

Feel free to copy out the text from the version you get or create your own using another program. The key is to just get a version you use and are happy with!

Good luck and here’s to your financial success!

Peace and Pineapples,
Alan & Katie, and Bob 🍍