MaineCF Investment Program Review - Insights from Experts and Performance Analysis

Title of Program Goes Here Investment Program Review May 5, 2022 11 AM EST

Presenters Liana Kingsbury Director, Nonprofit Agency Funds Sterling Speirn Interim President & CEO Brendon Reay Vice President, Investments

Questions Please use the Q & A feature to ask questions during the webinar. After the webinar, please contact: Brendon Reay: breay@mainecf.org Liana Kingsbury: lkingsbury@mainecf.org

About MaineCF Mission: To work with donors and other partners to improve the quality of life for all Maine people. How we achieve our mission: MaineCF promotes effective and strategic giving, and offers a range of giving options tailored to fit each donor s financial means and charitable passion. We provide local expertise, personalized service, community leadership, and asset stewardship. We know Maine.

Fund Types Other 4% Unrestricted 2% Scholarship 9% Donor Advised 38% Field of Interest 14% Designated 16% Nonprofit Agency 17%

2021 In Review Number of funds: 2,100 Assets under management: $775 million Amount awarded in 2021: $58 million COVID-19 Response Grants: $4.3 million Competitive grant awards: $4.2 million from 25 grant programs Scholarships: $4 million Donor advised grants: $29 million Giving Together grantmaking: $1.7 million

Growth of Assets, 2000-2021 $800 $700 $600 $500 Millions $400 $300 $200 $100 $0 Net Cash Flows Cumulative Investment Return

M Return and Risk MaineCF s investment objective is to achieve the highest risk-adjusted returns over longer periods of time Mix of investments aims to return 5+%, net of inflation Two species of risk: Short-term fluctuations in the value of investments ( volatility ). Normal. Longer-term risk of permanent loss of capital. Warren Buffett: Rule no. 1: Never lose money. Rule no. 2: Never forget rule No. 1 Diversification. Due Diligence. We are and will remain a long-term, vigilant, diversified investor safeguarding and growing the assets you have entrusted to us.

Leadership of Asset Classes Calendar Year Performance Latest Perf. as of9/30/21 5 Yrs (Annl) (Annl) 10 Yrs 15 Yrs (Annl) 20 Yrs (Annl) 1 Yr 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Private Eqty 10.5% Private Eqty 10.9% REITs19.7% R2G 43.3% REITs27.2% R2V31.7% MSCI EM37.8% R1G 36.4% R1G 38.5% REITs40% Best Best R2V63.9% R1G22.8% R1G19.7% R1G 13.3% MSCI EM11.3% BBG US Bond Agg.0% MSCI EM18.6% R238.8% S&P 50013.7% R1G5.7% R221.3% R1G 30.2% S&P 50031.5% R2G 34.6% S&P 50028.7% Private Eqty 11.6% R247.7% S&P 50016.9% S&P 50016.6% R1G 11% MSCI EAFE 25.6% HF Multi Strategy* 0.1% Private Eqty 23.6% R2V18.1% R2V34.5% R1V13.5% REITs2.1% R1V17.3% R2G 28.5% R2V28.3% BBG Private Eqty 16.8% Private R2G 15.7% R2G 10.6% Comdty 42.3% Eqty 11% MSCI EAFE 17.9% HF Multi Strategy* 1.6% R1G 33.5% R1G13% S&P 50012% R2G 22.2% R1G 1.5% REITs28.2% R220% R1G 27.6% Private Eqty 39.5% R2G 15.3% R214.6% S&P 50010.4% R2G 10.5% Private Eqty 11.8% BBG BBG R1V17.5% R1V32.5% S&P 5001.4% S&P 50021.8% REITs 3.9% R1V26.5% MSCI EM18.7% Private Eqty 14.3% Comdty 11.8% Comdty 27.1% R1V35% R213.5% R29.2% R210.3% BBG US Bond Agg.6% BBG US Bond Agg.0.5% Private Eqty 19.2% HF Fund of Funds 4% R216.3% S&P 50032.4% MSCI EM11.6% R225.5% S&P 50018.4% R1V25.2% R2G 33.3% R2V11% R1V13.5% R1V7.5% R2V9.8% MSCI EAFE 23.3% HF Fund of Funds 0.3% MSCI EAFE 22.7% HF S&P 50016% R2G 5.6% R2G11.3% R214.6% S&P 500 4.4% R214.8% Long/Sh ort 17.9% REITs32.3% R1V10.9% R2V13.2% R2V7.5% S&P 5009.5% HF S&P 50030% REITs11.8% REITs6.6% R1V8.3% Private Eqty 19.5% Private Eqty 10.6% HF Fund of Funds 10.9% MSCI EAFE 11.8% HF Long/Short 7.1% Long/Sh ort 9.6% R1G15.3% R24.9% MSCI EAFE 0.4% R1V13.7% R2V22.4% HF HF HF HF Long/Short 1% HF R2G 14.6% R2V4.2% REITs9.4% R1V 8.3% MSCI EM18.9% MSCI EAFE8.3% MSCI EM9.6% MSCI EAFE8.6% MSCI EM6% MSCI EAFE7% Long/Sh ort 14.3% Long/Sh ort 13.3% Long/Sh ort 11.7% Long/Sh ort 27.4% Private Eqty 13.1% HF Fund of Funds 9% HF Fund of Funds 3.4% Private Eqty 15.2% BBG US Bond Agg.7.5% HF Multi Strategy* 8.6% HF HF HF R2G 1.4% R1G 7.1% REITs9.3% R2G 9.3% R1G 27.3% MSCI EAFE9.3% Long/Sh ort 7.6% Long/Sh ort 5.4% Long/Sh ort 6.3% HF HF Multi Strategy* 6.6% HF Multi Strategy* 2.4% HF Multi Strategy* 6.5% HF HF Multi Strategy* 7.1% HF Fund of Funds 6.1% R1V 3.8% R2V7.8% R2 11% Long/Sh ort 7.4% Long/Sh ort 13.7% MSCI EAFE 26.3% HF Multi Strategy* 5.1% HF Multi Strategy* 5.4% REITs8.3% MSCI EM6.5% HF Multi Strategy* 7.3% HF HF HF Fund of Funds 7.8% BBG US Bond Agg.8.7% BBG Comdty 11.2% HF Multi Strategy* 5.9% HF Multi Strategy* 5.3% BBG US Bond Agg.4.3% REITs2.3% R2 4.4% R2V4.6% R2G 2.8% MSCI EM18.6% MSCI EAFE4.6% Long/Sh ort 1.8% Long/Sh ort 5.5% HF Multi Strategy* 15% HF Fund of Funds 5.8% HF Fund of Funds 4.5% BBG US Bond Agg.4.2% HF Fund of Funds 4% HF Fund of Funds 4.8% BBG US Bond Agg. 2% BBG US Bond Agg.2.6% HF Multi Strategy* 5.1% HF Fund of Funds 8.4% BBG US Bond Agg. 1.5% MSCI EM 1.8% R2V 7.5% R2V 12.9% R1V2.8% Wost Wost HF Fund of Funds 14.2% BBG BBG US Bond Agg.3% HF Fund of Funds 3.1% BBG BBG US Bond Agg.4.2% BBG US Bond Agg.3.5% HF Multi Strategy* 8.2% MSCI EAFE 13.4% BBG Comdty 3.1% Comdt y 4.5% Comdt y 1.6% MSCI EM 2.3% MSCI EAFE 4.5% MSCI EM 14.6% MSCI EAFE1.5% *HedgedFund Multi Strategy=1/3 ofeachof thefollowing HedgedFund ResearchIndices:RelativeValue,ConvertibleArbitrage,and Merger Arbitrage. MSCI EM 2.2% BBG US Bond Agg. 0.9% BBG US Bond Agg.2.9% BBG Comdty 2.7% BBG Comdty 2.1% REITsN/A HF Fund of Funds 0.5% BBG BBG BBG Comdty 1.1% BBG Comdty 9.5% BBG Comdty 17% BBG Comdty 24.7% MSCI EM 14.2% REITs 6% Private EqtyN/A Comdt y 1.7% Comdt y 7.7% Prepared by Monticello Associates PRIVATE AND CONFIDENTIAL please refer to the legal disclaimer on the last page Source: Morningstar andPreqin

Investment Performance (annualized, as of 12/31/21) 18% 16.4% 15.8% 16% 14% 12.0% 12% 9.9% 9.4% 10% 8.5% 8% 6% 4% 2% 0% 2021 3 Year 5 Year 7 Year 10 Year Since Inception (12/93) Primary Pool Benchmark 60% MSCI ACWI/40% BBG Agg Bond Index CPI-U

Investment Performance (annualized, as of 3/31/22) 14% 11.9% 12% 9.8% 10% 8.5% 8.3% 8.3% 8% 6% 4% 2% 0% -2% -4% -6% -5.2% -8% Q1 2022 3 Year 5 Year 7 Year 10 Year Since Inception (12/93) Primary Pool Benchmark 60% MSCI ACWI/40% BBG Agg Bond Index CPI-U

Investment Performance (MaineCF vs InvMetrics E&F, as of 12/31/21) 18% 16.4% 15.8% 16% 14.8% 14% 13.4% 12.0% 12% 10.9% 9.9% 10% 8.4% 9.2% 8% 7.1% 6% 4% 2% 0% 1 year 3 years 5 years 10 years 20 Years MaineCF Average

Investment Performance (MaineCF vs 88 $100M+ AUM Community Foundations, as of 12/31/21) 18% 16.4% 15.5% 15.8% 14.6% 16% 14% 11.0% 12.0% 12% 9.3% 8.6% 9.9% 10% 9.4% 8.4% 6.7% 7.1% 7.7% 8% 6% 4% 2% 0% 1 year 3 years 5 years 7 years 10 years 15 years 20 Years MaineCF COF Average Based on survey data provided by the Council on Foundations

Responsible Investing (aka ESG) Investors are increasingly more focused on aligning their values and their investments. Environmental, Social, and Governance (ESG) factors are becoming mainstream. Diversity, Equity, and Inclusion (DEI) factors are also becoming more widespread in the investment industry. MaineCF undertook a review in 2021 of all current investment managers to assess the portfolio s ESG awareness. Manager reporting of DEI data is lagging, but more firms are coming up to speed here, too.

Responsible Investing (aka ESG) 75% of MaineCF s investment managers have an ESG policy; 32% have a dedicated ESG analyst. This trend will continue. Our largest private equity position is with a firm founded by, and currently run by, a woman. MaineCF will evaluate select opportunities for impact investments (e.g., climate change).

Thoughts for 2022 Despite the recent downward move, US equities are still trading above historical average valuations EAFE and EM below average Rising interest rates put downward pressure on bonds Inflation: low to ~5% is OK for equities. 5%+ is not. Recession? We are and will remain a long-term, vigilant, diversified investor safeguarding and growing the assets you have entrusted to us.

Title of Program Goes Here Thank you We would appreciate your feedback Brendon Reay, VP Investments Email: breay@mainecf.org Direct line: 207-412-2016 Mail: 245 Main St., Ellsworth, ME 04605

MaineCF Investment Committee Mark Howard, CFA, Chair, Managing Director and Senior Multi-Asset Specialist, BNP Paribas, New York City and Boothbay, Maine Elizabeth R. Hilpman, Former Chair, Partner, Barlow Partners, New York City, and Woolwich, Maine Forrest Berkley, Former Chair, retired Partner, Grantham, Mayo, VanOtterloo & Co., LLC, Concord, Massachusetts, and Northeast Harbor, Maine John B. Sullivan, Former Chair, President, Portland Global Advisors, Portland, Maine Jean Deighan, Deighan Associates, Bangor, Maine Martha Dumont, retired Director of Research, Credit Sights, New York, NY. and former Director of Global Fixed Income Research at Lehman Brothers, Falmouth, Maine Brooke Parish, President and Partner, Corvid Peak Capital Management, New York City and Castine, Maine Peter Rothschild, former Chief Investment Officer, MaineCF, New York City and Islesboro, Maine

Inve Independent Investment Consultant Role of investment consultant MaineCF staff and Investment Committee work closely with an independent investment consultant to monitor investment manager performance and assist in manager selection Investment consultant also provides extensive analytical and comparative reporting to assist staff and the committee with its decision-making Consultant - Monticello Associates Independent asset management consulting firm providing non-discretionary investment advisory services Founded in 1992 with a focus on endowment and foundation clients and high net worth families Headquarters in Denver with offices in Cleveland and Boston Grown into one of the country s leading asset management consulting firms working with many prominent community foundations, museums, hospitals, schools, and families across the U.S. MaineCF s primary contact at Monticello: Andrew Terborgh, Managing Director