KB Financial Group said Thursday it has launched a 1 trillion won ($689 million) infrastructure fund to invest in national strategic projects, targeting energy transition and regional development.
The KB National Growth Infrastructure Fund aligns with the government’s broader 150 trillion won drive to mobilize private capital for key industries, positioning KB as a long-term institutional anchor investor in strategic infrastructure.
The fund’s initial investments will include the Sinan Ui offshore wind power project. It also plans to add the Yongin semiconductor cluster district heating project as a core asset, linking renewable energy expansion with high-tech industrial support.
The vehicle is fully funded by KB affiliates — KB Kookmin Bank, KB Insurance and KB Life Insurance — and will be managed by KB Asset Management, the operator of South Korea’s first domestically developed infrastructure fund listed on the securities market.
Structured as a perpetual closed-end fund, it is designed to minimize profit-and-loss volatility tied to large, long-term infrastructure investments. The structure reflects accounting guidance issued last August that eased earnings recognition pressure from valuation fluctuations.
“By combining the group’s infrastructure expertise with affiliate capital, we have established a framework to manage a single 1 trillion won fund on a long-term basis,” a KB Financial official said. “We will continue supporting high-tech competitiveness while fostering regional and (small and medium-sized enterprises') growth.”
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