Oklahoma Public Employees Retirement System, Oklahoma City, expects to issue an RFP in August for an active domestic small-cap value manager to run $95 million to $100 million, confirmed Tom Spencer, executive director.
The $5.8 billion system has three small-cap managers handling a total of 5% of the system’s assets: UBS for small-cap growth; Barrow Hanley small-cap value; and BlackRock, which manages a Russell 3000 index fund, Mr. Spencer said in telephone interview.
In the near term, 1.67% of the overall portfolio stays with UBS, 1.67% stays with Barrow Hanley and the remaining 1.67% will be put in a Russell 2000 Value index fund to be run by BlackRock.
If the board hires an active manager, that firm would inherit the 1.67% in the index fund, Mr. Spencer said.
The aim is to break up the assets in the Russell 3000 fund, which is currently roughly 10% small cap and 90% large cap, and create a better balance with small-cap managers so equal parts are in value, growth and in-between, Mr. Spencer said.
