---
title: "Investment Committee (IC) | Altss Glossary"
description: "An investment committee is a group responsible for reviewing and approving investment decisions within an organization."
canonical: "https://altss.com/glossary/investment-committee"
---

Allocator Roles

# Investment Committee (IC)

Publisher: Altss LLCPublished 2025-12-27Content modified 2026-01-06

An investment committee is a group responsible for reviewing and approving investment decisions within an organization.

**Allocator relevance:** **Defines the approval path, documentation standards, and decision cadence—central for predicting timelines and stakeholder alignment.**

### Expanded Definition

ICs exist in institutions, funds, and some family offices. They provide governance, oversight, and accountability. The IC may approve individual deals, manager commitments, or policy allocations depending on structure. The existence of an IC typically increases process rigor and documentation requirements, but it can also slow decisions if meeting cadence is infrequent.

For fundraising, understanding IC scope (policy vs transaction) is critical.

### How It Works in Practice

Investment teams present opportunities using memos and supporting diligence. IC members debate thesis and risks, request follow-ups, and approve or decline. Some ICs have quorum and voting requirements; others are consensus-driven.

### Decision Authority and Governance

The IC is a governance mechanism. Decision authority may still sit with a board or principal above it, but the IC often acts as the formal approval body and establishes guardrails (risk limits, concentration constraints).

### Common Misconceptions

- IC means decisions are fully rational and objective.

- IC implies slow decisions in every case.

- IC members always have equal influence.

### Key Takeaways

- IC defines the real approval path.

- Cadence and scope determine speed.

- Strong IC discipline improves consistency across cycles.

## Related terms

[Chief Investment Officer (CIO)](https://altss.com/glossary/cio)[Investment Mandate](https://altss.com/glossary/investment-mandate)[Decision Chain](https://altss.com/glossary/decision-chain)[IC Memo (Investment Committee Memo)](https://altss.com/glossary/investment-committee-memo)[Investment Policy Statement (IPS)](https://altss.com/glossary/investment-policy-statement)

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