IBK Industrial Bank to Launch $230 Million 'Co-Growth Fund' with Asset Management Firms

IBK Industrial Bank is set to provide a significant funding boost of 230 billion won (approximately $230 million) amid ongoing challenges in the venture investment market due to high interest rates and economic slowdown.

On May 18, the bank announced its plans to select asset management firms for the '2026 IBK Co-Growth Fund.'

Through this initiative, IBK plans to invest a total of 120 billion won across three sectors: impact, bio-healthcare, and culture, aiming to create a fund exceeding 230 billion won. Notably, the investment ratio has been increased to between 50% and 60% to alleviate the initial funding burden typically associated with sector-specific funds. The impact sector refers to businesses and investment areas that generate both financial returns and social or environmental value.

Specifically, 20 billion won will be allocated to two asset management firms in the impact sector. In the bio-healthcare and culture sectors, 50 billion won will be invested in each, totaling 100 billion won across four firms. This approach aims to identify and support specialized asset management companies with strong expertise.

The proposal submission period runs from today until May 29. IBK plans to select the asset management firms in July, with the chosen firms required to complete fund formation by December of this year.

An IBK official stated, "We hope this Co-Growth Fund will contribute to the development of a balanced venture ecosystem and will continue to support productive finance alongside the IBK Innovation Fund aimed at fostering advanced strategic industries."