Individual Investor Policy Statement

Client Information:
- Client Name: Mr. Juan dela Cruz
- Age: 32
- Gender: Male
- Marital Status: Single
- Occupation: Bank Teller
- Monthly Salary: 30,000 Philippine Peso
- Risk Profile: Semi-Aggressive

Investment Objectives:
Mr. Juan dela Cruz's investment objectives are as follows:

1. Short-term Financial Goals:

- Accumulate an emergency fund equal to at least 6 months of living expenses.
- Save for a down payment on a home within the next 5-7 years.

2. Medium-term Financial Goals:

- Build a diversified investment portfolio to provide for future financial security,
including retirement.
- Generate capital growth and income through investments to supplement his monthly
income.

3. Long-term Financial Goals:

- Achieve financial independence and retire comfortably by the age of 60.
- Leave a legacy for potential heirs or charitable organizations.

Risk Tolerance and Risk Capacity:

Mr. Juan dela Cruz has a semi-aggressive risk profile. This means he is willing to
accept a moderate degree of risk in pursuit of higher returns. His risk tolerance is based
on his relatively stable income as a bank teller, which provides a steady source of
income. He understands that investments can fluctuate in value and is willing to endure
short-term volatility for the potential of long-term capital appreciation.

Investment Time Horizon:

Mr. Juan dela Cruz has a long investment time horizon, with the goal of building wealth
for retirement. His horizon is approximately 28 years, which aligns with his aspiration to
retire at the age of 60.

Liquidity Needs:
Mr. Juan dela Cruz recognizes the importance of maintaining an emergency fund for
unforeseen expenses. He should have easy access to this fund, typically equivalent to 6
months of living expenses. Additionally, he intends to save for a home down payment
within the next 5-7 years, which may require periodic withdrawals from his investments.

Tax Considerations:
Mr. Juan dela Cruz should consider tax-efficient investment strategies to minimize his
tax liability and optimize after-tax returns. He should take advantage of tax-advantaged
accounts, such as retirement accounts, whenever possible.

Asset Allocation:
Given Mr. Juan dela Cruz's semi-aggressive risk profile and long-term investment
horizon, an appropriate asset allocation might be as follows:

- Equities: 70%
- Fixed Income: 25%
- Cash and Cash Equivalents: 5%

This allocation aims to provide a balance between growth potential and risk
management. Within the equities portion, diversification across different sectors and
regions is crucial to mitigate risk.
Investment Strategy:
Mr. Juan dela Cruz's investment strategy should include regular contributions to his
investment portfolio, taking advantage of dollar-cost averaging. He should also consider
periodic rebalancing to maintain his target asset allocation. He should review and adjust
his investment portfolio annually or when there are significant changes in his financial
situation or goals.

Monitoring and Reporting:

Regular monitoring and reporting of the portfolio's performance and adherence to the
investment policy statement will be conducted quarterly. Adjustments will be made as
necessary to keep the portfolio aligned with Mr. Juan dela Cruz's objectives and risk
tolerance.

This Investment Policy Statement is designed to provide a structured approach to

achieve Mr. Juan dela Cruz's financial goals while managing risk. It is essential that he
communicates any changes in his financial situation or objectives to his financial advisor
to ensure that the investment strategy remains appropriate.
 Individual Investor Policy Statement

Client Information:
- Name: Mr. Juan dela Cruz
- Age: 32 years
- Gender: Male
- Marital Status: Married
- Dependents: One child (3 years old)
- Occupation: Teller in a bank
- Monthly Salary: 30,000 Philippine Peso

Investment Objective:
Mr. Juan dela Cruz seeks to build wealth over the long term to provide financial security
for his family, including retirement planning and education funding for his child. He has a
moderate to high-risk tolerance and is willing to accept some volatility in exchange for
potentially higher returns.

Risk Profile:
Mr. dela Cruz has a semi-aggressive risk profile. This means that while he is willing to
take on a significant level of risk in his investments, he also understands that there is a
need for a balanced approach that takes into account the financial goals and
responsibilities of his family.

Financial Goals:
1. Short-term Goal (1-3 years): Build an emergency fund equivalent to at least three
months' worth of living expenses, approximately 90,000 Philippine Peso.
2. Intermediate-term Goal (3-10 years): Save for his child's education fund, with a target
of 500,000 Philippine Peso.
3. Long-term Goal (10+ years): Accumulate a substantial retirement fund, with the aim
of retiring comfortably and providing for his family's financial needs.
Investment Strategy:
Given Mr. dela Cruz's semi-aggressive risk profile and long-term investment horizon,
the following investment strategy is proposed:

1. Asset Allocation: A diversified portfolio consisting primarily of equities and some fixed
income securities to provide growth potential while mitigating risk. The recommended
allocation is as follows:
- Equities: 80%
- Fixed Income: 20%

2. Investment Selection: Within the equity portion, diversification across different sectors
and geographic regions will be employed to spread risk. Investment in low-cost, well-
managed mutual funds or exchange-traded funds (ETFs) is recommended. Within the
fixed income portion, high-quality bonds and bond funds will be selected to provide
stability and income.

3. Risk Management: Regular portfolio reviews will be conducted to ensure the portfolio
remains in line with Mr. dela Cruz's risk tolerance and financial goals. Rebalancing will
be performed as needed to maintain the target asset allocation.

4. Tax Considerations: Tax-efficient investment strategies will be employed to minimize

the impact of taxes on Mr. dela Cruz's investment returns.

5. Dollar-Cost Averaging: Given Mr. dela Cruz's relatively modest monthly salary, a
systematic investment approach through dollar-cost averaging will be used to invest a
fixed amount of money regularly, reducing the impact of market volatility.

6. Emergency Fund: Priority will be given to building an emergency fund of 90,000

Philippine Peso in a liquid, low-risk savings account before aggressively pursuing long-
term investment goals.
Review and Monitoring:
This investment policy statement will be reviewed annually, or more frequently if there
are significant changes in Mr. dela Cruz's financial situation or market conditions.
Adjustments to the portfolio may be made as necessary to stay on track towards
achieving his financial goals.

Signature:
Mr. Juan dela Cruz

Date:
[Date]
 Individual Investor Policy Statement

Client Information:
- Name: Mr. Juan dela Cruz
- Age: 32
- Gender: Male
- Marital Status: Married
- Dependents: One child (3 years old)
- Occupation: Bank Teller
- Monthly Salary: 30,000 Philippine Peso
- Risk Profile: Semi-Conservative

Investment Objectives:
Mr. Juan dela Cruz has the following primary investment objectives:

1. Wealth Preservation: Mr. dela Cruz's primary goal is to preserve and protect his
capital, especially given his familial responsibilities as a husband and father.

2. Capital Growth: While capital preservation is paramount, Mr. dela Cruz also aims to
achieve reasonable capital growth over the long term to secure his family's financial
future, including education expenses for his child and retirement planning.

Time Horizon:
Mr. dela Cruz has a relatively long investment horizon, with key milestones including his
child's education fund and retirement. His time horizon is approximately 25 years.

Risk Tolerance:
Mr. dela Cruz has a semi-conservative risk profile. He is willing to accept some degree
of investment risk to pursue moderate capital growth while prioritizing the safety of his
investments. He prefers stable and lower-risk investment options.
Liquidity Needs:
- Mr. dela Cruz may need access to a portion of his investments for short-term
emergencies or unexpected expenses. Therefore, maintaining a certain level of liquidity
is essential.

Tax Considerations:
Mr. dela Cruz should seek tax-efficient investment strategies to minimize tax liabilities,
thus maximizing the after-tax returns of his investments.

Investment Constraints:
- Liquidity Needs: As mentioned, Mr. dela Cruz requires a certain degree of liquidity for
unforeseen expenses.
- Time Horizon: His investment horizon is long-term, but he may need to access funds
for his child's education in approximately 15 years.
- Risk Tolerance: Given his semi-conservative risk profile, investments should focus on
capital preservation with a moderate level of risk.
- Tax Considerations: Tax efficiency is important to optimize after-tax returns.
- Regulatory and Ethical Considerations: Investments should comply with all relevant
laws and ethical standards.

Investment Strategy:
Based on the above information and Mr. dela Cruz's risk profile, here is the proposed
investment strategy:

1. Asset Allocation:
- A significant portion of the portfolio should be allocated to low-risk assets such as
fixed-income securities, including government bonds and high-grade corporate bonds.
This will provide stability and capital preservation.
- A moderate portion can be allocated to equities, focusing on established companies
with a history of stable dividends. This allocation aims for moderate capital growth.
 - A small portion may be allocated to alternative investments or diversified mutual
funds for additional diversification and potential higher returns.

2. Diversification:
- Diversify within each asset class to spread risk. For equities, consider diversifying
across industries and geographic regions.
- Avoid overconcentration in any single asset or sector.

3. Risk Management:
- Regularly review and rebalance the portfolio to maintain the desired asset allocation.
- Consider using tax-efficient investment vehicles such as tax-advantaged retirement
accounts if available.

4. Monitoring and Review:

- Conduct periodic portfolio reviews, at least annually, to ensure the portfolio remains
aligned with Mr. dela Cruz's investment objectives and risk tolerance.
- Make adjustments as needed based on changing circumstances or goals.

Conclusion:
This Individual Investor Policy Statement outlines Mr. Juan dela Cruz's investment
objectives, risk profile, constraints, and proposed investment strategy. It serves as a
guideline to help him achieve his financial goals while managing risk and preserving
capital. Regular communication and review of this policy statement will be essential to
ensure that his investment portfolio remains in line with his evolving financial needs and
objectives.
 Individual Investor Policy Statement

Client Information:
- Name: Mr. Juan Dela Cruz
- Age: 32
- Gender: Male
- Marital Status: Married
- Number of Dependents: One child, 3 years old
- Occupation: Teller in a bank
- Monthly Salary: 30,000 Philippine Peso
- Risk Profile: Conservative

Investment Objectives:
Mr. Juan Dela Cruz has identified the following primary investment objectives:

1. Education Fund: To accumulate sufficient funds to support his child's education,

including tuition fees and related expenses, which will become a significant financial
obligation in approximately 15 years.

2. Retirement Planning: To build a retirement nest egg that will provide a comfortable
standard of living during retirement years, taking into account that retirement is
expected around the age of 60.

Risk Tolerance:
Given Mr. Dela Cruz's conservative risk profile, he is averse to significant fluctuations in
the value of his investments. He prefers capital preservation and is willing to accept
lower returns in exchange for reduced investment risk. He is not comfortable with
substantial losses and prefers to avoid high-risk investment strategies.

Investment Horizon:
Mr. Dela Cruz has a long-term investment horizon, particularly for his retirement and his
child's education fund. He understands that these goals will require consistent saving
and investment over an extended period of time.

Liquidity Needs:
Mr. Dela Cruz recognizes the importance of maintaining liquidity to cover unexpected
expenses and emergencies. He requires a portion of his investments to be readily
accessible for short-term needs and emergencies.

Tax Considerations:
Mr. Dela Cruz intends to take advantage of tax-efficient investment options when
available to maximize the growth of his investments.

Asset Allocation:
Given Mr. Dela Cruz's conservative risk profile and long-term objectives, the
recommended asset allocation is as follows:

1. Fixed Income Investments: 70%

- This portion of the portfolio will consist of low-risk fixed income securities, such as
government bonds and high-quality corporate bonds. These investments will provide
stability and generate consistent income.

2. Equity Investments: 20%

- A smaller allocation to equities, primarily through diversified mutual funds or
exchange-traded funds (ETFs), can help Mr. Dela Cruz benefit from potential long-term
capital appreciation while maintaining some level of diversification.

3. Cash and Cash Equivalents: 10%

- A portion of the portfolio will be held in cash and cash equivalents, such as a savings
account or money market funds, to ensure liquidity for short-term needs and
emergencies.
Portfolio Review and Monitoring:
Mr. Dela Cruz will regularly review his portfolio with his financial advisor to ensure it
remains aligned with his investment objectives and risk tolerance. Adjustments will be
made as necessary to maintain the desired asset allocation and achieve his long-term
financial goals.

Investment Strategy:
The investment strategy will focus on selecting high-quality fixed income securities and
low-cost, diversified equity funds. The emphasis will be on minimizing fees and
expenses to maximize returns over the long term. Mr. Dela Cruz will also explore tax-
efficient investment options when applicable.

Review Frequency:
Mr. Dela Cruz and his financial advisor will conduct a comprehensive portfolio review
annually to assess progress toward his financial goals and make any necessary
adjustments.

This Individual Investor Policy Statement outlines Mr. Dela Cruz's investment objectives,
risk tolerance, asset allocation, and strategy. It will serve as a guiding document for his
investment decisions and will be reviewed periodically to ensure it remains consistent
with his financial goals and risk preferences.

Client Signature:

__________________________ Date: __________________

Mr. Juan Dela Cruz