1. Heat oven to 350 degrees F.
2. Melt butter in a 10-inch oven-proof nonstick skillet over medium-high heat. Add shallots and cook for 4 minutes, stirring occasionally. Add capicola and cook for 1 minute.
3. Whisk together eggs, milk, pepper and nutmeg; stir in 4 oz of the cheese and pour into skillet. Cook for 5 minutes, stirring once after 2 minutes.
4. Place skillet in oven and bake at 350 degrees F for 5 minutes. Scatter remaining 2 oz cheese on top and bake an additional 5 minutes until frittata is set.
5. To serve, gently slide frittata onto a serving plate and garnish with basil, if desired.
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