The new hedge fund will center on value credit and equity trading

Solel Partners began trading this week with $600 million AUM. According to Bloomberg, former Highfields Capital Management partners Craig Peskin and Peter Fleiss are leading the fund. Investors include Highfields’ founder Jon Jacobson, endowments, foundations, and other wealthy individuals.

Jacobson is a limited partner in the fund.

The report said that the fund’s strategy is centered around value-oriented credit and equities. In March, Reuters announced the formation of the fund. At the time, market expectations suggested that the fund would manage $400 million.

The fund will maintain eight to 12 core positions and take short positions from time to time. The fund will target the consumer, financial, retail, technology, and healthcare markets.

Solel Partners Earns Support of Jon Jacobson

The two managers worked together at Blackstone Group. They departed the asset manager and joined Highfields. Peskin joined in 2004, while Fleiss came over in 2007. Following Jacobson’s decision to stop managing others’ money and return investor capital, the two moved on to start this fund.

Following the closure, Jacobson told his investors, “undoubtedly, there will be Highfields’ offspring in the near future, and I will be supportive of them with both my time and my capital.”

The fund managers have also hired several former Highfields’ employees.

Analysts Robin Hollenstein, Robert Sigman, and Noah Kolatch are also joining the firm.

William Stone serves as the firm’s CFO.

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