Orange County Employees Retirement System, Santa Ana, Calif., hired Waddell & Reed Asset Management to run $120 million in large-cap growth equity, with Jennison Associates as a standby manager, wrote Robert Kinsler, spokesman for the $7.5 billion system, in an e-mail response to inquiries.
The previous manager of the portfolio, Peregrine Capital, was terminated for performance. John Dale, senior vice president, portfolio manager at Peregrine, said: “We never comment about clients — past, present or future.”
The board also placed William Blair’s $178 million emerging markets equity markets portfolio and Cadence Capital’s $190 million U.S. equity large-cap growth portfolio on watch for performance.
Separately, system officials are also considering whether to add a director of investments. In a presentation to the board, Steve Delaney, the system’s CEO, recommended the new position would be created to develop a multiyear comprehensive strategic vision for the system’s investment portfolio. The investments director would oversee the chief investment officer position.
The board is expected to make a decision later this year, Mr. Kinsler wrote.
The system returned 17.84% for the year ended Nov. 30.