Key Components of an Investment Policy Statement

John, a high-net-worth client, has approached his financial advisor seeking to draft a comprehensive Investment Policy Statement (IPS). John’s primary goal is to preserve his wealth while achieving moderate growth. He has a significant legacy to consider, as he wishes to pass on a portion of his wealth to his children in the future. Additionally, John has expressed a moderate risk tolerance and an investment horizon of 10 to 15 years.

The advisor understands the importance of aligning the IPS with John's financial goals, risk tolerance, and investment horizon. However, as they prepare to draft the IPS, the advisor needs to decide which key components should be included to effectively guide John's investment decisions and ensure that his legacy is preserved.

Given these factors, which of the following components should be prioritized in John's Investment Policy Statement?