DarcMatter - South Korea

The Continued Rise of South Korea’s Private Equity Market

The South Korea private equity fund market continues to grow.

Interest in private equity funds have seen a significant growth fueled by investment from Institutional investors. According to Korea Financial Investment Association, investment into PEF has doubled from US $12.6 bn to US $25.2 bn between 2014 to 2018 (US $4.6 bn was real estate related in 2018). In comparison, investment into public funds peaked in 2016 at US $17.1 bn then eased back to US $15.5 bn in 2018.

Contribution from the retail investors was steady, increasing two-fold from 2013 to 2018 to US $1.9 bn. Relaxing of PE regulations such as expanding LP limit from 49 to 100 and continued interest into real estate related strategies support the PEF expansion in Korea.


DarcMatter - South Korea Private Equity
DM Korea Research: Investments in Public vs. Private Funds


We have previously discussed another alternative investment trend, South Korean Investment in Overseas Real Estate, which can be found in our Resource Center.


US/Korean Won: 1210won/$ (19-09-04)