--- title: "KYE™ Investment Decision Authority Pack™ — AI investment-decision & committee-approval governance authority · KYE™ Sector Pack Foundry™ · KYE Protocol™" description: "The KYE™ Investment Decision Authority Pack™ governs AI-assisted investment decisions and actions at the action boundary — the moment an AI-generated thesis, portfolio recommendation, or trade recommendation moves toward a portfolio change committed, a trade routed, or an investment committee approval recorded. Every consequential action is bound to a named portfolio manager's / investment committee's authority, mandate-checked before the action, held advisory pending sign-off (two-person on the irreversible committee approval), and replay-provable. KYE™ governs whether the decision may proceed; it does not produce investment intelligence, judge whether a thesis is correct, or give investment advice." url: https://kyeprotocol.com/foundry/investment-decision-authority-pack/ lang: en source: "KYE Protocol" --- > The KYE™ Investment Decision Authority Pack™ governs AI-assisted investment decisions and actions at the action boundary — the moment an AI-generated thesis, portfolio recommendation, or trade recommendation moves toward a portfolio change committed, a trade routed, or an investment committee approval recorded. Every consequential action is bound to a named portfolio manager's / investment committee's authority, mandate-checked before the action, held advisory pending sign-off (two-person on the irreversible committee approval), and replay-provable. KYE™ governs whether the decision may proceed; it does not produce investment intelligence, judge whether a thesis is correct, or give investment advice. KYE™ Sector Pack Foundry™ # KYE™ Investment Decision Authority Pack™ for AI-assisted investment decisions & committee approvals. When an AI agent drafts an investment thesis, generates a portfolio recommendation, proposes a trade, or assembles an investment committee paper and that decision starts to move toward a portfolio change committed, a trade routed, or an investment committee approval recorded, the consequential moment has arrived. The KYE™ Investment Decision Authority Pack™ governs that action boundary: it binds every consequential action to a named portfolio manager's or investment committee's authority, records the mandate check before the action, holds the decision advisory until a named signing professional signs off — with two-person sign-off on the irreversible committee approval — and seals it into a replay-provable provenance record. KYE Protocol™ governs **whether the decision may proceed** — it does not produce investment intelligence, judge whether a thesis is correct, render any view on alpha, returns, or suitability of outcome, and is not an investment adviser. [Apply via the Foundry](https://kyeprotocol.com/sector-pack-foundry/apply/) See how it works Why AI investment decisions need this The wedge ## AI now drafts theses and portfolio recommendations — and the investment committee approval is the irreversible action where accountability concentrates. Generative research copilots, AI investment-workbenches, portfolio-construction engines, and trade-idea assistants are producing decisions that move quickly toward the portfolio, the order book, and the committee minute. The high-value problem is not the analysis — it is the action boundary. Three facts converge: - **The consequential moment is the commit, the route, and the committee approval — not the draft.** A thesis in a model's output is inert; a portfolio change committed, a trade routed, or an investment committee approval recorded is consequential. The committee approval is irreversible — the accountability-bearing decision to deploy capital that moves the market or the client's position and cannot be cleanly unwound. Portfolio-manager and committee accountability attaches at the moment a decision proceeds — exactly where governance is weakest. - **The conduct standards already exist; the enforcement of authority does not.** The Investment Policy Statement / discretionary mandate, MiFID II (best interest, suitability, best execution), the FCA COBS, the SEC investment-adviser fiduciary duty, and AIFMD / UCITS fund limits define what is required. KYE Protocol™ governs whether an AI-assisted decision may proceed under those standards, under whose authority, with the mandate check recorded before the action. - **Provenance is now an audit expectation.** A decision committed under a MiFID II / FCA COBS recordkeeping obligation, the books behind an SEC Rule 204-2 advisory record, and an AIFMD fund decision must each carry documented basis and lineage. KYE Protocol™ produces a signed, replay-derivable provenance pin at the moment the action commits — referencing, never reproducing, any AI investment-workbench vendor's evidence-backed output consumed as an input. - **This is a governance wedge, not an investment engine.** KYE Protocol™ does not compete with the research, workbench, or portfolio-construction tools. It governs the action boundary they feed — the named-authority + mandate-check + two-person sign-off + provenance layer the AI investment ecosystem currently lacks. Why an investment / controls owner buys this ## Survives an auditor, an FCA / SEC review, or an internal-audit spot check — mandate-checked, two-person-signed-off, and derivable from public keys alone. - **Mandate-checked by construction.** An AI-assisted decision that moves toward a commit, route, or approval must carry a recorded mandate-check result — within the recorded investment mandate / IPS (permitted investments + concentration / liquidity / risk limits), within the applicable suitability / best-interest basis (MiFID II Art. 25/27; FCA COBS 9/11; SEC duty of care; AIFMD / UCITS limits), and free of an undisclosed conflict where applicable. An out-of-mandate, limit-breaching, or unassessed decision is refused at the action-admissibility gate. - **Sign-off-gated, two-person on the committee approval.** A decision stays advisory until a named responsible portfolio manager, head of investment, or investment committee records sign-off. The irreversible investment committee approval additionally requires GovernedUI two-person sign-off — the recommending portfolio manager and an approving committee member or CIO. Unreviewed AI-driven consequential actions are refused and routed dual-channel. - **Authority-bound.** Every consequential action maps to a recorded named-authority decision — the agent, the decision / recommendation artefact, the intended action, and the named portfolio manager or committee under whose authority it proceeds. An AI authorised for one purpose cannot proceed under another. - **Replay-provable provenance.** A signed provenance pin binds the model and version, the inputs and pinned source data, the mandate-check result, the suitability basis, and the authority outcome — audit-grade data integrity an auditor, an FCA / SEC reviewer, or the asset owner can verify offline, against published keys alone, satisfying MiFID II / FCA COBS recordkeeping, SEC Rule 204-2, and AIFMD record obligations. - **Framework-anchored.** The Investment Policy Statement / mandate, MiFID II, the FCA COBS, the SEC fiduciary duty, AIFMD / UCITS, OSFI E-23 model risk, and SOX §404 each map to a control row — with a 90-day attestation cadence. How it works ## Every consequential investment action — authority-bound at the action boundary. One coherent spine governs five specializations — thesis, portfolio-recommendation, trade-recommendation, committee-approval, and client-research-note — with no parallel packs. Each AI-assisted decision that moves toward a consequential action flows through the same four rules, on the canonical KYE Protocol™ envelopes. 1. **1 — Decision proposed.** An AI agent produces a thesis, a portfolio recommendation, a trade recommendation, or a committee paper that begins to move toward a portfolio change committed, a trade routed, or a committee approval recorded. 2. **2 — Mandate + authority check.** The Action Admissibility™ Gate verifies a recorded mandate-check result (within permitted investments + concentration / liquidity / risk limits + suitability) and the named-authority under which the decision proceeds, under the §25 Edge Governance Safety Floor. No mandate check, no authority = no action. 3. **3 — Advisory pending sign-off.** The decision is advisory until a named portfolio manager, head of investment, or investment committee records sign-off — with two-person sign-off (portfolio manager and committee member / CIO) required on the irreversible committee approval. Low-confidence or unreviewed decisions are refused and routed dual-channel. 4. **4 — Provenance pin sealed.** The runtime emits kye.purpose.request.v1 + kye.purpose.admissibility.v1 + kye.evidence.decision\_map.v1 + kye.evidence.pack.v1 in lockstep, binding the model and version, the pinned source data, the mandate-check result, the named signing professional, and the Authority Finality™ outcome — signed and replay-derivable for an auditor, an FCA / SEC reviewer, or an internal-audit spot check. Framework binding ## Bound to the AI investment authority + mandate + provenance perimeter. The pack binds the canonical KYE™ artefact set to the investment-conduct standards perimeter. Every claim resolves to a control row on the bound framework — the seven regulations are consumed by the rule pack, never re-mapped (five are new investment-conduct registries; OSFI E-23 model risk and SOX §404 are reused as the model-risk and accountability anchors, grafted not duplicated). | Framework | Control area | Pack coverage | | --- | --- | --- | | Investment Mandate / IPS | Permitted investments, concentration / liquidity / risk limits, named authority, reporting | partial | | MiFID II | Acting in the client's best interest (Art. 24), suitability (Art. 25), best execution (Art. 27), recordkeeping | partial | | FCA COBS | Client's best interests rule (2.1.1R), suitability (COBS 9), best execution (COBS 11), recordkeeping | partial | | SEC IA Fiduciary | Duty of care & loyalty (Advisers Act 1940), books & records (Rule 204-2) | partial | | AIFMD / UCITS | Fund-manager authority, risk-management function & limits, investment limits & diversification | partial | | OSFI E-23 _(reused)_ | Model risk — development & independent validation / effective challenge over the investment model | partial | | SOX §404 _(reused)_ | Management review control — named-accountability review over AI-assisted investment actions | partial | **Honest scope.** KYE Protocol™ governs the authority, mandate, sign-off, and provenance of the AI instruction at the action boundary — whether the decision may proceed. It does not produce investment intelligence, judge whether a thesis is correct, render any view on alpha, returns, or suitability of outcome, run the research or portfolio engine, and is not an investment adviser. An AI investment-workbench vendor's evidence-backed output is an input to KYE Protocol™'s decision-map; KYE Protocol™ never reproduces their research. Partial coverage means the bound surface satisfies the control area when paired with the firm’s own investment process and attestation. Apply via the Foundry ## Qualified AI investment partners — apply through the Foundry. The KYE™ Investment Decision Authority Pack™ is a §68 sector product productised through the KYE™ Sector Pack Foundry™ Build tier; commercial distribution is value-based, qualification-gated, and disclosed under NDA to qualified applicants. [Apply via the Foundry](https://kyeprotocol.com/sector-pack-foundry/apply/) [See the three Foundry tiers](https://kyeprotocol.com/sector-pack-foundry/) [Bound regulatory frameworks](https://kyeprotocol.com/frameworks/) Canonical KYE™ surfaces referenced on this page: [Evidence Pack™](https://kyeprotocol.com/evidence-pack/) · [KYE Protocol™](https://kyeprotocol.com/).