Nearly Half of Second National Participation Growth Fund Sold in Three Days; Online Sales to Increase from October 6

[Financial News] The second National Participation Growth Fund is progressing smoothly, with half of its target amount raised within three days of its launch. As demand for online subscriptions surged, financial authorities decided to significantly increase the share of online sales starting October 6.
According to the Financial Services Commission (FSC) on October 2, the second National Participation Growth Fund, launched on September 30, sold 299.64 billion won over three days through that day. This amounted to 49.94% of the total public offering of 600 billion won. That afternoon, the FSC held a meeting with public fund managers, including Mirae Asset Global Investments, Samsung Asset Management and KB Asset Management, as well as related institutions, to review the sales figures.
The review found that online subscriptions accounted for more than 70% of sales at both banks and securities firms, far exceeding offline subscriptions. The shares were 73.3% at banks and 74.4% at securities firms. To make subscriptions more convenient, financial authorities decided to allow online sales shares to be increased voluntarily starting October 6. Banks will raise the share from 40% to 60%, while securities firms will increase it from 60% to as much as 80%.
As of 5 p.m. that day, 300.38 billion won remained available, including 215.6 billion won at 10 banks and 84.78 billion won at 14 securities firms. Among the banks, Hana Bank had the largest remaining amount at 45.37 billion won, followed by KB Kookmin Bank with 38.7 billion won and Woori Bank with 35.37 billion won.
The remaining amount reserved for lower-income citizens, which accounts for 50% of the total allocation, stood at 199.21 billion won, comprising 131.83 billion won at banks and 67.38 billion won at securities firms. The 50% cap on the priority allocation will remain in place through October 7 as originally planned. From October 8, sales will become fully open, without restrictions on the online-to-offline sales ratio or the priority allocation.
Sold on a first-come, first-served basis over 10 business days through October 15, the fund allows the general public to support the growth of companies in advanced strategic industries and share in investment returns. Investors receive an income-tax deduction on up to 40% of their investment, along with separate taxation of dividend income at 9.9%. If losses occur, government finances and other sources will first absorb 18.8%–23.3% of the losses on a subordinated basis, reducing investment risk. The fund has the same management structure as the first fund launched in May, but its contributions are managed separately, resulting in different launch dates for operations and actual investment holdings. 

[email protected] Park Ji-hyun Reporter