Lee Eogweon: "Expanding the Venture Capital Ecosystem, Financial Investment Industry Is Key"

Financial Services Commission Holds Roundtable
to Activate the Venture Capital Ecosystem for Financial Transformation

On October 30, Lee Eog-weon, Chairman of the Financial Services Commission, stated at a meeting with CEOs from the financial investment industry, "The financial investment sector stands at the forefront of the venture capital ecosystem supporting innovation," and called for securities and asset management firms to expand their supply of venture capital.

Lee Eokwon, Chairman of the Financial Services Commission, is speaking at the comprehensive audit of the Financial Services Commission and the Financial Supervisory Service held at the National Assembly in Yeouido, Seoul on the 27th. 2025.10.27 Photo by Kim Hyunmin

The Financial Services Commission held a meeting titled "Roundtable on Activating the Venture Capital Ecosystem for Financial Transformation" at the Korea Financial Investment Association in Yeouido, Seoul, on this day. This was Chairman Lee's first official meeting with the financial investment industry since taking office. Seoyu-seok, Chairman of the Korea Financial Investment Association, and 17 CEOs from major securities and asset management firms attended the event.

Chairman Lee emphasized, "Public expectations for the capital market are higher than ever, as evidenced by the KOSPI surpassing 4,000 points for the first time in history," adding, "The role of venture capital in the financial investment sector is crucial in an environment where we must endure the uncertainties of technological innovation and significant initial costs."

He went on to explain the government's current policy direction for revitalizing venture capital and delivered a message to the financial investment industry. First, he announced plans to strengthen the institutional foundation so that the securities industry can lead the supply of venture capital as a 'true investment bank (IB)'.

He stated, "By expanding the designation of comprehensive financial investment business entities, we will support large-scale investment banks in securing stable funding through promissory notes and integrated investment accounts (IMA). The designation process will proceed swiftly in the order in which reviews are completed, so that the supply of venture capital is not delayed."

He also stressed, "By tightening real estate NCR regulations, we will improve the inertia of real estate-centered investments and enhance soundness," adding, "We are prioritizing productive finance to ensure that funds flow into productive sectors of our economy."

Additionally, there are plans to strengthen the venture capital function of asset management firms. The Business Development Company (BDC) system, which enables ordinary citizens to easily invest in early-stage companies, will be implemented as soon as possible. Incentives for preferential allocation of initial public offering (IPO) shares to KOSDAQ venture investment funds will also be expanded within the year.

Alongside these measures, the government will improve the system to establish a 'responsible investment culture' for private equity funds (PEFs). He stated, "We will promote system improvements in line with global standards so that investments can be transparent and responsible, meeting public expectations," and emphasized, "The PEF industry must also engage in self-reflection and comprehensive renewal to contribute to sustainable corporate growth and the creation of social value."

He also requested the establishment of a robust duty of loyalty as trustees. He said, "Institutionally, we will broaden the scope of the stewardship code and strengthen the responsibility for its implementation," adding, "We will also make every effort to ensure the successful adoption of the 'responsibility structure' for investor protection, including preventing mis-selling."

CEOs of securities and asset management firms attending the meeting expressed their intention to actively invest in venture capital, responding to the government's institutional support for productive finance. To this end, they plan to not only comply with mandatory venture capital investment ratios but to exceed them, and to provide customized financial support to innovative companies.

In conclusion, he emphasized, "The changes currently facing our economy mark the beginning of a structural transformation, making the role of the financial investment industry in supplying venture capital more important than ever," and added, "We will continue to communicate and cooperate closely so that the financial investment industry can become a key driver of economic growth."