이 기사는 2021년 03월 30일 07시51분 thebell에 표출된 기사입니다

The National Pension Service of South Korea (NPS) will invest a total of 1.85 trillion won ($1.63 billion) in domestic alternative assets this year, compared with the 1.95 trillion won investment set for the same asset classes last year.

The public pension fund said in a request for proposals (RFP) issued on Friday that it is looking for managers to oversee investments in four categories of strategies: private equity (PE), venture capital (VC), co-investments and a corporate partnership. The pension fund has allocated 600 billion each to PE and co-investments, while allocating 150 billion won and 500 billion won respectively to VC and corporate partnership strategies.

Investment firms interested in categories of PE, VC and co-investments should go through tender processes. NPS will pick four PE managers to award 80 billion won to 200 billion won apiece, while planning to select four VC managers to award 30 billion won to 60 billion won each. For the co-investment funds category, a total of 600 billion won will be awarded to two managers.

The RFP marks the first time in four years the pension fund put money into co-investment funds. In 2017, it selected Daishin Private Equity and a consortium of Shinyoung Securities and SK Securities to award a 400 billion won co-investment mandate.

With co-investment funds, NPS can make investment decisions more quickly when investment opportunities arise. Unlike standard PE funds, where general partners need to get consent from limited partners to deploy additional capital to an investment, co-investment funds do not require such a process.

Applicants can apply for only one of the three categories and a co-general partner structure is now allowed. Any investment firms that have invested 60% or less of the capital previously committed by the NPS are not eligible for application.

Proposals for PE and co-investment mandates are due on April 28, while the deadline for a VC mandate is in August. Final selections are expected to be made before the end of June and end of October respectively.

NPS has also allocated up to 500 billion won to a corporate partnership fund, where the pension scheme and a domestic company each contribute 50% of the fund’s capital to invest in strategic growth opportunities abroad. Companies with a credit rating of A- or higher are eligible for application. Applicants can apply for this category throughout the year. (Reporting by Hee-yeon Han)