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Korea insurance fund opens tender for 60 billion won venture capital mandate

Insurance fund
By Hui Ching-hoo   
May 24, 2021

South Korea’s Industrial Accident Insurance Fund has opened a tender for a 60 billion won (US$52.8 million) venture capital mandate, which will be split between two large and two smaller asset management firms.

The large firms will receive 40 billion won, and the two small and mid-sized firms will get 20 billion won, the fund says in its request for proposal published on the website of the Korea Financial Investment Association on May 21.

The large firms will need to have over 120 billion won of total assets. Firms with less assets are deemed to be smaller.

Applications are open until June 4, with due diligence and manager selection scheduled for between June 7 and July 2.

Early last year, the fund awarded another 60 billion won venture capital mandate, splitting it between three local asset managers – Stonebridge Ventures, Atinum Investment and DSC Investment – and UK firm SL Investment.

The insurance fund’s primary purpose is to compensate workers injured in industrial accidents.

Samsung Asset Management is the outsourced chief investment officer of the fund, which was established in 2002 and comes under the Labour Ministry.

The fund had around 21 trillion won of total assets as of December 2019.