Which of the following are elements of any investment policy statement?

An investment policy statement (IPS) serves as a foundational document that outlines the guidelines for investment management, aiming to clarify the client's objectives and the parameters for making investment decisions.

The inclusion of the client's investment goal is crucial since it establishes the primary purpose of the investment strategy, whether it's capital appreciation, income generation, or wealth preservation. Understanding this goal helps align the investment approach with the client's expectations.

Identifying suitable and unsuitable investment vehicles is also an important element, as it specifies which types of investments the client is comfortable with and which they wish to avoid. This helps in building a portfolio that reflects the client’s preferences and strategic direction.

Additionally, determining an acceptable risk level is essential. Every investment carries some degree of risk, and articulating the level of risk the client is willing to accept ensures that the investment strategy aligns with their risk tolerance and capacity.

Combined, these elements—investment goals, acceptable investment vehicles, and risk tolerance—create a comprehensive framework that guides investment decisions, ensuring the strategy remains aligned with the client's needs and preferences. Thus, the correct choice encompasses all these essential components of an investment policy statement.