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Korea teachers’ credit union seeks bids for 130 billion won equity mandates

KTCU
By Hui Ching-hoo   
March 31, 2023

Korea Teachers’ Credit Union (KTCU) is seeking bids from asset managers for two equity mandates, one for 50 billion won (US$38.35 million) of investments in global stocks and the other for 80 billion won in domestic stocks.

One firm will be hired to manage the global equity mandate for two years. The investments will mainly be in high-growth Indian companies, KTCU says in a request for proposal on March 29.

Firms bidding on the tender must have experience operating collective investment schemes and discretionary investment business in Korea.

Applications are open until April 12 and the winning bidder will be chosen by April 26.

The domestic equity mandate is split into three different strategies: long-term growth, dividend, and social responsibility.

Two managers will be hired for the long-term growth strategy, and one each for the dividend and social responsibility strategies. Each firm will be allocated 20 billion won, KTCU says in a separate RFP. The term of appointment was not specified.

Applicants must be locally registered asset management firms and have at least 50 billion won of assets under management, with more than 60% allocated to domestic stocks.

KG Zeroin has been appointed to evaluate bidders for this tender, which is open until April 10. The managers are scheduled to be appointed by May 31.

KTCU, a welfare scheme for teachers and school administrators, had around 52.78 trillion won of total assets as of December 2021.