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High Alpha Innovation
High Alpha Innovation — the McDonald family office from the ExactTarget exit that builds venture studios rather than backing startups.
High Alpha Innovation
High Alpha Innovation emerged from the McDonald family's capital after ExactTarget's $2.5 billion sale to Salesforce in 2013. John McDonald, a former ExactTarget executive, co-founded the firm in 2019 alongside venture studio veterans Mike Fitzgerald and Kristian Andersen. The office operates from Indianapolis with an additional base in Wichita, Kansas. The firm pursues a venture studio model: it builds companies from scratch, often in enterprise software, AI/ML, and digital health. High Alpha Innovation typically contributes IP, operating talent, and seed capital to each studio. Confirmed studio-formed companies include Sigstr (acquired by Dext) and Emplify (acquired by Lattice). The portfolio spans the United States and includes a growing number of climate-tech ventures in the Midwest. High Alpha Innovation does not disclose AUM. The team includes studio operators and an investment committee. In October 2023, the firm announced a partnership with Kansas State University to launch an ag-tech venture studio (per the university, October 2023). The office also maintains philanthropic ties through the McDonald family foundation. The firm's structural differentiator is its focus on venture studios rather than direct equity or fund-of-funds — a model that bundles company creation, operational support, and capital in a single entity. This approach reduces co-investor friction and keeps governance inside a small, coordinated team.
General information
Firm type
Single Family Office
Year founded
2019
AUM
Undisclosed
Location
Region
North America
Country
United States
City
Indianapolis
Corporate office
Indianapolis, IN, United States
Additional offices
Wichita, KS, United States
Principals
John McDonald
CEO & Managing Partner
Mike Fitzgerald
Co-Founder & Partner
Sector focus
Frequently asked questions
Who runs investment decisions at High Alpha Innovation?
John McDonald serves as CEO and Managing Partner, overseeing investment and studio operations. Mike Fitzgerald and Kristian Andersen, co-founders, lead studio creation and company formation. Investment decisions are made collaboratively within a small team of studio operators and the family office.
How does High Alpha Innovation source proprietary deal flow?
High Alpha Innovation generates deal flow through its venture studio model: it identifies problems or market gaps, recruits co-founders, and builds companies from the ground up. This sourcing approach is distinct from traditional fund investing — the firm does not primarily fund third-party started companies.
Is High Alpha Innovation structured as a single family office or does it operate more like a venture firm?
High Alpha Innovation operates as a single-family office that functions similarly to a venture studio. It does not maintain a typical venture capital fund structure with outside limited partners. The firm uses the family's capital to support company creation, which it holds long-term.
What investment stages does High Alpha Innovation typically target?
High Alpha Innovation focuses on company creation at the earliest stage — well before Series A. It writes seed-stage checks into its own studio-formed ventures, typically contributing IP and talent alongside capital. The firm then supports these companies through growth stages.
Where does the underlying wealth come from?
The underlying wealth originates from the 2013 acquisition of ExactTarget, an Indianapolis-based marketing software company, by Salesforce for $2.5 billion. The McDonald family, specifically John McDonald, was a key executive at ExactTarget and reinvested proceeds into High Alpha Innovation.
Does High Alpha Innovation participate in fund commitments or only direct deals?
High Alpha Innovation primarily executes direct deals through its venture studio model. It does not publicly disclose fund commitments to external GPs. The firm focuses exclusively on building its own portfolio companies through internal studio efforts.
Which sectors does High Alpha Innovation explicitly target?
High Alpha Innovation targets enterprise software, AI/ML, and digital health among other sectors. It has shown increasing activity in climate tech and ag-tech, including a 2023 partnership with Kansas State University for an ag-tech venture studio. The firm avoids sectors unrelated to software or technology, given its studio model requires deep technical and operational expertise.
Profile maintained by Altss using OSINT (open-source intelligence), regulatory filings, licensed data partners, and verified direct submissions. Read the methodology. Last updated: . Continuous refresh with full update cycles at least every 30 days.
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