KB Securities has been selected as the preferred bidder for the fourth term of the Housing and Urban Fund outsourced chief investment officer (OCIO) mandate.

KB Securities said on Monday it was selected as the preferred bidder in an evaluation to choose the fourth-term OCIO for the Housing and Urban Fund overseen by the Ministry of Land, Infrastructure and Transport, after its management capabilities and tailored strategy were recognised.

With the selection, KB Securities has entered the large public fund management market in earnest. The company said it was meaningful in that it proved competitiveness in managing public funds while also laying the groundwork to expand its OCIO business.

The proposal for the mandate was led by Sung-hee Kim (김성희), an executive director at KB Securities' OCIO Solutions Division. Kim is a public fund management specialist who previously served as head of the Industrial Accident Compensation Insurance Fund and as head of the pension fund investment pool management division. Drawing on experience managing large public funds, Kim presented a management strategy tailored to the characteristics of the Housing and Urban Fund.

Sung-hee Kim, an executive director at KB Securities, said, "I will do my best to manage the stability and profitability of the Housing and Urban Fund in a balanced way and establish a management system that fits the fund's characteristics."