Capital Z and a team of senior investment professionals from Merrill Lynch Investment Partners started High Star Capital Management to develop and manage hedge fund-of-fund products, with a launch planned for early 2001. John Frawley, former president and CEO of Merrill Lynch Investment Partners, will be CEO of High Star; others from Merrill Lynch who have joined High Star include Madanda Machayya, director of research and product development; and Peter Fell and Anna Taam, senior hedge fund analysts.
Mr. Frawley said Capital Z is investing $250 million in the new venture and his team will also invest an undisclosed amount. High Star will target both wealthy individuals and institutional investors.
