The Kentucky State University Endowment (“Endowment”) is an aggregation of funds comprised of gifts from donors and grants from the Commonwealth of Kentucky with the requirement they be invested in perpetuity to generate a reliable and steadily growing revenue stream to support the mission of the University now and in the future.
The revenue stream, or total return spending distributions, supports scholarships, chairs, professorships, basic research, as well as academic and public service programs, as defined by the individual endowment agreements. The Endowment is expected to provide fiscal stability since the principal is invested for long-term growth and total return spending distributions are generated year after year. Kentucky State University has a fiduciary responsibility to prudently manage and preserve the long-term purchasing power of the Endowment, as well as the individual endowment funds, in order to evenly support present and future beneficiaries. This fiduciary responsibility constitutes both a legal and moral obligation to donors and the Commonwealth of Kentucky who intend that their gifts and grants provide support for the University in perpetuity.
The Endowment also includes other funds set aside by the Board of Trustees with the expectation that they be invested on a long-term basis.
The objective is to establish and maintain an investment portfolio for the College's cash flow requirements and principal growth of certain fund balances.
It is anticipated that an initial investment of approximately $22 million will be placed with the selected investment management firm.
The primary objectives of the University's Investment Policy are to provide safety of principal, liquidity for operating needs, return on investment, and diversification of risk. The University will seek a conservative portfolio structure relying on a blend of index and managed funds, though the exact investment strategy and mix will be determined once an advisor is selected and in consultation with the Investment Advisory Council. The administration of the University's funds must comply with Commonwealth of Kentucky Revised Statutes, KRS 273.600 to KRS 273.645 (Kentucky Uniform Prudent Management of Institutional Funds Act)
The University invites each prospective Vendor to have full and complete information on which to base a proposal response. Only information presented or referred to in this RFP and any additional written information that is supplied by Kentucky State University Buyer shall be used by Vendors in preparing the response. The solicitation, addenda, and attachments shall be posted to the Kentucky State University Web site at: https://www.kysu.edu/finance-and-administration/purchasing/bid-opportunities.php
For the purpose of this RFP, the following terms may be used interchangeably: