Key Takeaways
- • Jinger Zhao, an 18-year veteran of Two Sigma Investments and former managing director, is launching z Star Research, an Asia-focused quantitative hedge fund backed by Blackstone's absolute return platform.
- • Blackstone is providing $300 million in preliminary funding to support the fund's launch and operations, representing a significant institutional vote of confidence in Zhao's strategy and track record.
- • The new fund has already begun recruiting staff based in Asia, signaling an immediate focus on regional expertise and local market execution capabilities.
- • This investment reflects Blackstone's ongoing strategy to identify and capitalize on talent migration from established quant powerhouses, while expanding its exposure to Asia-focused quantitative strategies.
Summary
Jinger Zhao is transitioning from her role as managing director at Two Sigma Investments to launch her own hedge fund, z Star Research, with substantial institutional backing. Zhao spent 18 years at Two Sigma, one of the world's most prominent quantitative asset managers, building a deep foundation in algorithmic trading and systematic investment strategies. Her departure to establish an independent fund underscores a broader trend of senior talent from elite quant firms striking out with institutional support to pursue specialized regional strategies.
Blackstone Inc. is providing $300 million in preliminary funding through its absolute return platform to capitalize Zhao's venture. The scale of this backing demonstrates Blackstone's commitment to supporting experienced managers seeking to establish differentiated, Asia-focused quantitative operations. z Star Research is positioning itself specifically around Asian markets, a strategic focus that aligns with Blackstone's broader expansion into Asia-Pacific alternative investment opportunities.
The fund has already begun executing its go-to-market strategy, recruiting staff based in Asia to ensure deep regional presence and local market expertise. This early staffing activity suggests the fund is moving rapidly toward deployment and operational launch. For institutional investors and hedge fund managers tracking talent flows and emerging quantitative fund launches, this transaction signals both confidence in Zhao's capabilities and Blackstone's appetite for backing experienced founders with proven track records from tier-one institutions.
Blackstone Inc. is providing $300 million in preliminary funding through its absolute return platform to capitalize Zhao's venture. The scale of this backing demonstrates Blackstone's commitment to supporting experienced managers seeking to establish differentiated, Asia-focused quantitative operations. z Star Research is positioning itself specifically around Asian markets, a strategic focus that aligns with Blackstone's broader expansion into Asia-Pacific alternative investment opportunities.
The fund has already begun executing its go-to-market strategy, recruiting staff based in Asia to ensure deep regional presence and local market expertise. This early staffing activity suggests the fund is moving rapidly toward deployment and operational launch. For institutional investors and hedge fund managers tracking talent flows and emerging quantitative fund launches, this transaction signals both confidence in Zhao's capabilities and Blackstone's appetite for backing experienced founders with proven track records from tier-one institutions.
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