The FSC announced the 2nd round of New Deal fund sale plan of KRW80 billion for general investors which will be matched by fiscal investment worth KRW20 billion for creating a master fund in the amount of KRW100 billion.
The FSC along with the Korea Development Bank and the Korea Growth Investment Corporation unveiled a plan for creating an additional New Deal fund in September 2021 and had since taken steps to select fund management companies.
The 2nd round of New Deal funds will be launched for sale on November 29 and will be available for sale for two weeks until December 10 at 16 banks and securities firms including via online channels. An early closure of the sale process may be possible as the 1st round of New Deal funds introduced in March this year were sold out in a single week.
The total size of the master fund will amount to KRW100 billion which will be made up of KRW80 billion investment from the private sector and retail investors and KRW20 billion from fiscal investment. In December, the fund will invest in seven feeder funds managed by six fund management companies, which will then begin to make investments in the designated digital and green New Deal sectors.
The 2nd round of New Deal funds will be invested in both listed and soon-to-be-listed companies for a period of two years from the time of their creation. Profits made from the investment will be shared with the retail investors who made investments in the fund.
The authorities and the fund management companies will regularly provide updates on the investment status and fund management strategies to the public.
* Please refer to the attached PDF for details.