The Financial Supervisory Service met with executives in charge of fund management at comprehensive financial investment businesses to urge the revitalization of venture capital supply.
The FSS stated that on the 12th, it discussed this matter with officials, including executives from four comprehensive financial investment businesses, at its headquarters in Yeouido, Seoul.
According to the FSS, as of September last year, the proportion of venture capital in the total assets of comprehensive financial investment businesses was only 2.23%. The FSS requested that comprehensive financial investment businesses play a proactive role, stating that despite the introduction of large-scale investment banks, their supply of venture capital has been lacking.
Seo Jae-wan, vice president of the FSS, emphasized, "There is a need to discover promising corporations with high growth potential and provide concentrated support to them," adding, "This is the inherent role that comprehensive financial investment businesses should perform in carrying out overall corporate finance tasks."
He also added, "The FSS will actively support the strengthening of venture capital supply capabilities across the financial investment sector, including comprehensive financial investment businesses."
Industry representatives attending the meeting responded that they would focus their capabilities on supplying venture capital. They stated that they would enhance funding targeting corporations with growth potential, such as ventures and innovative companies, using issued notes and IMAs, and lay the groundwork for concrete execution.
The FSS noted, "We will strive to spread a culture of revitalizing venture capital throughout the industry through close communication," and stated, "We will support the fulfillment of our inherent role in supplying venture capital to drive the growth of our economy."