Korea Post is looking to hire two foreign fund managers for a US$200 million overseas direct lending mandate.
The managers will oversee the government postal agency’s closed-end direct lending commingled blind funds, Korea Post says in a request for proposal on December 2.
Hedge fund, collateralised loan obligations, and sector-focused funds such as infrastructure, real estate and energy funds, will be excluded from the investments.
Applicants must be registered in South Korea under the financial investment legislation, and have distribution agreements with domestic fund distributors.
Applications are open until December 15. Due diligence and manager selection are scheduled to be carried out over the first two months of 2021.
Korea Post has actively stepped up exposure to alternative assets in recent years. The ten-plus mandates it has outsourced thus far in 2020 include alternative or non-mainstream strategies such as private equity and infrastructure.
The postal agency plans to increase its allocation to alternative assets but hasn’t specified an exact target.
As of December 2019, Korea Post had around $106 billion of total assets, with less than 10% allocated to alternatives.