Korea Venture Investment Corp. (KVIC) has selected six international venture capital firms to operate its second-half 2025 Global Fund, forming a combined fund scale of KRW 721.4 billion (approximately USD 540 million), strengthening the bridge between Korean startups and global investors. The move underscores Korea’s strategy to globalize its venture ecosystem through cross-border partnerships and institutionalized capital flow.
KVIC Launches ₩721.4 Billion Global Fund with Six International Managers
On December 9, Korea Venture Investment announced that it has finalized six global fund operators for its 2025 H2 Global Fund Program, following a competitive evaluation of documentation, on-site due diligence, and an investment committee review.
The selected firms span four regions:
- TEDCO, Playground Global, and One Way (United States)
- AVP (France)
- CMBI (Hong Kong)
- Do Ventures (Vietnam)
Under the program, Korea’s Fund of Funds contributes KRW 76.8 billion, catalyzing the formation of a total KRW 721.4 billion fund, of which KRW 89 billion or more must be invested directly into Korean enterprises. Each selected fund manager is required to complete fund formation within six months of selection.
The Role of the Global Fund Program
The Global Fund initiative is a cornerstone of Korea’s international venture strategy. It allows the Fund of Funds to invest in top-tier foreign venture capital vehicles, provided that participating managers reinvest at least the same amount into Korean companies.
Since its inception in 2013, the Global Fund program has created 76 funds worldwide, totaling KRW 12.4 trillion (~ USD 9.3 billion) under management. It has directly supported 661 Korean startups, drawing KRW 1.3 trillion in cumulative investment and fueling the rise of global unicorns such as Toss, Danggeun Market (Karrot), and Rebellions Inc.
The fund has become a proven channel for bringing foreign venture expertise, capital discipline, and market access into the Korean ecosystem. By institutionalizing cross-border collaboration, it transforms overseas capital from passive exposure into structured, Korea-anchored participation.
Policy Confidence in Global Collaboration
KVIC CEO Lee Dae-hee emphasized that the Global Fund remains instrumental in linking Korean startups with international investors and nurturing unicorn creation, saying:
“The Global Fund has played a pivotal role in connecting Korea’s startups with global investors. We will continue establishing over KRW 1 trillion in new Global Funds every year to support international investment attraction and overseas expansion for Korean ventures.”
Investors cited KVIC’s track record and structured governance model as factors that attract sustained global participation, with the current round featuring both long-standing U.S. funds and emerging Asia-Pacific managers.
Expanding Korea’s Global Venture Footprint
The newly launched Global Fund signals how Korea is systematically internationalizing its venture-capital architecture. By embedding Korean investment requirements into foreign-managed funds, the initiative aligns private-market dynamics with national innovation policy.
The participation of Vietnamese and Hong Kong managers also reflects Korea’s push to strengthen Southeast Asian and Greater China capital linkages, complementing its established relationships in the U.S. and Europe. This diversification mitigates regional concentration risk and positions Korea as a connector within the Asia-Pacific venture corridor.
For Korean startups, the fund’s renewed scale—crossing KRW 700 billion—opens broader opportunities across advanced sectors prioritized by Korean innovation policy, including AI, semiconductors, mobility, and digital commerce, which are also increasingly targeted by global VCs seeking scalable Asian innovation.
Korea’s Global Fund Framework as a Model for Venture Globalization
With this sixth funding cycle, KVIC demonstrates that Korea’s venture globalization strategy is entering a more structured, policy-driven phase. The Global Fund not only channels foreign capital into Korean companies but also redefines how national funds collaborate with global private investors to share risk and accelerate cross-border innovation.
As new funds are formed in 2026, Korea’s model of institutionalized cross-border venture partnership could become a reference point for other emerging innovation economies seeking to integrate domestic startups into global financial networks.
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