Korea Post has opened a tender seeking a local financial institution to provide advisory and investment services for a 180 billion won (US$130.5 million) hedge fund portfolio.
The portfolio is under Korea Post’s savings unit, and the financial institution will be responsible for execution of transactions, performance measurement, risk analysis, and foreign exchange hedging, according to the government postal agency’s request for proposal released on November 1.
Institutions bidding on the tender must not have any record of violating financial regulations in the past five years, and must also prove their financial stability over the past three years.
Applications are open until November 14. The winning bidder will be chosen by the end of the year and appointed for a three-year term.
Korea Post is one of the most prolific among Korean asset owners in outsourcing investments, with ten other tenders thus far this year, including for private equity, venture capital, and social responsibility bonds.
The postal agency doesn’t often announce tender results publicly.
Sejong-based Korea Post has around 150 trillion won of assets under management.