Oklahoma Public Employees Retirement System, Oklahoma City, hired William Blair & Co. to manage about $230 million in domestic large-cap growth equity, pending successful contract negotiations, said Joseph A. Fox, executive director, in an e-mail.
William Blair will replace passive domestic large-cap eqBlackRockger BlackRock.
An RFP for active managers was issued in April.
Separately, the $8.4 billion pension fund returned a net 0.17% for the fiscal year ended June 30, underperforming its policy benchmark by 61 basis points.
The fixed-income portfolio returned a gross 7.12% for the year, while the domestic and international equity portfolios returned -0.16% and -7.73%, respectively.
As of June 30, the pension fund had an asset allocation of 45.1% domestic equity, 32.5% fixed income, 22.1% international equity and 0.3% cash.
For the three, five and 10 years ended June 30, the pension fund returned annualized gross returns of 6.91%, 7% and 6.19%, respectively.
Also, the pension fund lowered it assumed rate of return to 7.25% from the previous 7.5% in light of lower expected returns in the current market environment, particularly in fixed income, Mr. Fox wrote.