How do ordinary IPO funds differ from KOSDAQ venture funds?

An ordinary IPO fund has no separate allocation and takes part in book-building as a 'general institutional investor', competing with other institutions for the remaining institutional allocation.

A KOSDAQ venture fund (venture company investment trust), by contrast, can receive a separately reserved portion of KOSDAQ IPOs in return for meeting requirements such as the venture investment ratios. In exchange, it holds a larger proportion of unlisted venture companies and small KOSDAQ companies, so the two types of fund can have different risk profiles.