PMA Launches RFI To Support Endowment

PMA Launches RFI To Support Endowment

The Portland Museum of Art (PMA) is requesting information from qualified investment firms for consideration in the selection process to provide services for the management of the PMA’s Endowment.

The consultant firm’s objective will be to assist the Portland Museum of Art’s Investment Committee, Board of Trustees, and staff in developing and carrying out investment policies that are designed to ensure that sufficient assets are available to meet current and future benefit obligations, as well as endowment management to ensure that annual returns are sufficient to assist in funding museum operations.

With an extensive collection and nationally renowned exhibitions, the Portland Museum of Art is the cultural heart of Portland, Maine. The PMA boasts significant holdings of American, European, and contemporary art, as well as iconic works from Maine, highlighting the rich artistic tradition of the state and its artists. The museum brings it all to life with unparalleled programming. From members events, free school tours, and a commitment to family activities to PMA Films, curator talks, and tours of the Winslow Homer Studio, the PMA strives to engage audiences in a dialogue about the relevance of art and culture to their everyday lives.

The PMA’s Endowment assets, currently valued at more than $37 million, are invested to maintain their real value over time after distributions pursuant to the PMA's Endowment spending policy, fees, and expenses. In the selection of investments, expected total return—defined as capital appreciation plus income—is prioritized over current yield. The PMA seeks to achieve its return objectives while controlling risk through diversification among asset classes and securities, forming a blended portfolio that is expected to exhibit lower volatility than its constituent investments and broader equity market indexes.

The PMA is using a Request for Information (RFI) structure in hopes of reaching a broad spectrum of investment advisors. The Investment Committee intends to choose 4 institutions, to whom further questions will be asked. The 4 finalists will be selected after all responses have been evaluated.

Please submit completed responses no later than March 15, 2019. Questions about the RFI process will be accepted until February 22, 2019.  Only electronic questions and responses will be accepted. All questions and completed RFI responses should be submitted to:

Firms interested in consideration should provide the following:

1. Please provide a brief description of your firm (100 words).
2. Please outline what differentiates your firm from others.  (100 words).
3. Please summarize your approach to working with the PMA.  (150 words).
4. Please list 3 firm clients and 3 team clients that you feel are similar to the PMA.
5. The PMA would be interested in analysis of how our IPS is aligned with our goals and preferences.  Please provide an example of your IPS analyses which can help us fine-tune our policies accordingly (Appendix A).
6. Please provide an overview of a portfolio that might be recommended for a client like the PMA (150 words).
7. Please provide an example of a quarterly portfolio review slide deck (Appendix B).
8. Please provide the 1,3,5,10-year performance, and 20-year if available, as of 12/31/2018, net of fees, for your (1) equity allocations, (2) fixed income allocations, and (3) other allocations.  Please provide the performance for the corresponding benchmark and a brief description (20 words) of each. (Appendix C).
9. Can you allocate to: (1) private equity or (2) venture capital?  If so, please describe (35 words).
10.  On-site meetings expected per typical year: ___ Conference calls expected per typical year: ___
11.  Please outline proposed fee level including: your total fees, fees of underlying funds, transaction costs, costs associated with PE/VC, any other expenses we should expect (Appendix D).
12.  Biographies of key personnel (Appendix E).

The PMA is an equal opportunity employer and values diversity at our museum. We do not discriminate on the basis of race, color, religion, national origin, ancestry, age, sex, sexual orientation, physical or mental disability, veteran status, status as a whistleblower, marital status, gender identity or expression, genetic information, or any other basis prohibited by applicable law.

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February 6, 2019
Deputy Director and Chief Financial Officer