The Korea Federation of SMEs, or KBIZ, has opened a tender seeking ten asset managers for a domestic alternative fund mandate of up to 300 billion won (US$199 million).
The fund, which comprises a pool of private equity and venture capital sub-funds, has a target internal rate of return of 7% and a five-year investment period.
The winning bidders will each manage 10 billion won to 80 billion won, according to KBIZ’s request for proposal on July 10.
Asset management firms bidding on the tender and their core management personnel should not have been sanctioned or warned more than twice by financial authorities over the past five years.
The winners are expected to be announced by the end of September.
KBIZ was established in 1962 to safeguard the rights and interests of around 3.55 million small and mid-sized enterprises in Korea.
