Korea Investment partners with Carlyle Group to buy $4B of overseas credit products

Korea Investment & Securities signed a long-term partnership with Carlyle Group to invest a total of $300 million with the U.S.-based private equity fund and purchase overseas credit products worth $4 billion annually.

Korea Investment & Securities [JOONGANG PHOTO]

Korea Investment & Securities signed a long-term partnership with Carlyle Group to invest a total of $300 million with the U.S.-based private equity fund and purchase overseas credit products worth $4 billion annually.

Under the partnership, the two financiers also agreed to exchange human resources and share information.

Caryle Group is a global private equity fund operator that manages some $385 billion. It is also the No. 1 manager of collaterized loan obligations, which aligns with Korea Investment's latest foray into the credit business.

Korea Investment has also been trying to expand its global investment product portfolio among retail investors.

It has established global product development processes recently to offer global investment products worth 5 trillion won ($3.7 billion) in total to its customers.

It wants to increase the portion of its global products within its individual asset to 30 percent by 2030.

"Utilizing Carlyle Group's network, we expect to enhance global competitiveness by establishing a pipeline to develop retail products and opening up channels to source overseas investment bank deals," Korea Investment & Securities CEO Jung Il-moon said.

BY JIN EUN-SOO [jin.eunsoo@joongang.co.kr]