South Korea’s Construction Workers Mutual Aid Association (CWMA) has made changes to its rules to enable more flexibility in managing its alternative investment portfolio.

CWMA said in the announcement that it had amended its operating rules to allow additional capital commitments to “the same type of funds” run by alternative asset managers that are awarded its mandates.

The previous rules had restricted CWMA from committing more capital to alternative investment funds unless they were the same ones in which it previously invested. With the revision, it can have more flexibility in allocating money to different funds.

However, the new rules also raised the threshold for the ratio of paid-in capital to committed capital to be considered for additional funding, from 70% to 80%.

The revision is seen as part of an effort by CWMA to increase its allocation to alternative assets and strengthen the organization’s relationship with managers that have proven track records, industry watchers said.

CWMA started issuing alternative investment mandates in 2017, when it awarded mandates worth 50 billion won ($45 million) to SG Private Equity and Dominus Investment. In 2018 Unison Capital and Q Capital Partners received a combined 50 billion won, and in January this year Stonebridge Capital and a consortium of Daishin Private Equity and SKS Private Equity were awarded a combined 50 billion won.

The organization had 3.8 trillion won in assets under management at the end of 2019, with 24.2% of the total amount allocated to alternative assets such as private equity, real estate and infrastructure. (Reporting by Hee-yeon Han)