Shinhan Asset Management Begins Selection of Fund Manager for 80 Billion KRW 'Growth Support Fund'

Shinhan Asset Management announced on the 13th that it will proceed with the selection of entrusted asset managers for the Growth Support Fund.

Having been selected as a reliable partner in the formation of the 3 trillion KRW-scale Innovation Growth Fund in March, Shinhan Asset Management, recognized for its years of accumulated venture mother fund management capabilities, will join hands with Korea Development Bank to actively revitalize the venture ecosystem.

Shinhan Asset Management has built operational expertise over many years to ensure the success of the Growth Support Fund. Since 2018, it has formed the 'Startup Venture Fund' annually with a scale of 100 billion to 140 billion KRW, currently managing funds amounting to 860 billion KRW. Utilizing these funds, Shinhan Asset Management has invested in about 150 venture funds managed by approximately 100 venture capital (VC) firms. In fact, it maintains relationships with almost all VCs actively operating in Korea.

The Innovation Growth Fund is a large-scale policy fund investing in new industries, nurturing global unicorn companies, and expanding future growth engines. It is divided into the Innovation Industry Fund and the Growth Support Fund. Shinhan Asset Management has been selected as one of the asset managers for the Growth Support Fund.

Shinhan Asset Management plans to select two sub-fund managers with a total entrusted management amount of up to 80 billion KRW. The target amount for each fund is 250 billion KRW. The investment targets include private equity funds (PEF) and venture capital (VC) without distinction. The results of the evaluation will be announced in October, and the fund formation deadline is the end of December.

The main investment target of the Growth Support Fund is small and medium-sized enterprises (SMEs) and mid-sized companies that have been established for more than three years after startup and have a pre-investment corporate value of over 50 billion KRW, with investments amounting to at least twice the policy contribution amount. The focus is expected to be on scale-up stage companies that possess technology but lack sufficient financial capacity, currently expanding their scale.

The contribution method involves matching investments when privately formed funds autonomously align with the purpose of the Growth Support Fund. Jo Seong-ho, head of the Special Asset Management Team at Shinhan Asset Management, stated, “Along with this project, we plan to actively participate in the formation of private mother funds promoted by the current government in the future, thereby contributing to the implementation of the national agenda of creating an innovation growth ecosystem.”

This content was produced with the assistance of AI translation services.