Police & Fire Pension Plan of the Dearborn Heights (Mich.) Employee...

Police & Fire Pension Plan of the Dearborn Heights (Mich.) Employee Pension System hired Stafford Capital Management to manage $5 million in small-cap equities for its $102 million defined benefit plan. The funding comes from the liquidation of the fund’s investment in the Seligman Frontier Fund, a mutual fund, and from cash flow, said John Riley II, city treasurer and administrator of the pension fund. The move was prompted by a change in Michigan law that now permits pension funds to invest in separate accounts, Mr. Riley said. PaineWebber assisted and will conduct within a few months a search for an international equity manager. The Police & Fire fund now uses the Euro-Pacific Fund from American Funds, said Mr. Riley, and will possibly move into a separate account. Further details about the size of the international equity mandate were not available.