This article was published on June 10, 2025, at 5:28 p.m. on the ChosunBiz MoneyMove site.
The National Pension Service, known as a major player in the capital market, has recently confirmed a strategic partnership with CVC Capital, a global private equity fund manager. Seowon Joo, the Chief Investment Officer of the National Pension Fund Management, directly traveled to London, England, to promise enhanced collaboration and has returned. This year, with the adjustment of the U.S. stock market and exchange rate decline, the National Pension is actively seeking new investment opportunities outside the United States due to the poor overseas investment revenue.
According to the financial investment industry on the 10th, key executives within the National Pension Fund Management, including Deputy Minister Seowon Joo, Chief of Private Venture Investment Hyeongdon Choi, and Chief of Infrastructure Investment Jaeuk Lee, met with CVC Capital in London, England, on the 15th of last month (local time) to discuss strategic partnership and trends and strategies in the overseas private equity fund market.
At that time, Deputy Minister Seowon Joo and his team were on a business trip that included Madrid, Spain, and Edinburgh and London in the UK for seven days. During this period, the delegation met with several local managers, including Greystar, Ares, Bailey Gifford, Walters Scott, Park Square Capital, and Adian, but it is reported that CVC Capital is the only one with which a strategic partnership was established.
This is not the first time the National Pension and CVC Capital have established a cooperative relationship. CVC Capital is one of the outsourced managers for the National Pension's overseas alternative investments. The National Pension has consistently invested substantial amounts in CVC Capital's representative fund, the CVC Capital Partners Fund.
The Partners Fund is a buyout fund primarily investing in North America and Europe. The National Pension has invested in the 4th, 6th, 7th, 8th, and 9th Partners Funds. Notably, the recently established 9th fund raised 26 billion euros (around 40 trillion won), making it the largest single fund of a global private equity fund manager. The National Pension invested 650 million euros (approximately 1 trillion won) in the 9th Partners Fund.
Both sides stated that they cannot disclose specific details of this strategic partnership. The financial investment industry perceives this as a continuation of the National Pension's recent moves to expedite the discovery of investment opportunities outside the United States, following last year's record-high revenue (15%) due to the booming U.S. stock market and favorable exchange rate effects. However, this year has seen poor overseas investment revenue amid adjustments in the U.S. stock market and exchange rate declines.
An insider familiar with the National Pension's internal affairs noted, "The strategic partnership signing between the National Pension and CVC Capital is the second time this has occurred," adding, "I understand there has been a commitment to enhance collaboration on joint investments, personnel, and information exchange."
There are also analyses suggesting that the National Pension aims to increase its influence as a significant limited partner (LP). CVC Capital's Partners Fund is reportedly achieving internal rates of return (IRR) of over 20%. Given the stability of its performance, competition for investment is intense, and existing LPs often face 'cutbacks,' where they cannot receive the desired amount of investments.
A market source mentioned, "The National Pension may also aim to establish a special relationship with CVC Capital to gain an advantage in future LP investment competitions."