There are 284 public institutions as of September 2011 according to the ‘Management of Public Institution Act.’ These public administrations have 654 trillion won in asset by the end of 2010, climbing 142 trillion won from 2008. Its drastic growing attracts public attention on management efficiency and achievement of public institution.

  Public institutions’ asset is classified as follows: liquid asset for ordinary management, investment asset for generating long term profit from investment and tangible asset for meeting initial mission for institution. The asset for public institution should be managed and operated according to its feature and function to carry out its main businesses sustainably.

  Inefficient asset management tends to cause loss, which will connect to the national fiscal burden for the future, and eventually putting burden on the citizens. Thus, the National Assembly needs to play a pivotal role by constantly evaluating asset management status, with the aim of avoiding unnecessary spending and restoring fiscal soundness.

  This report analyzes the management of public institutions asset along with public institutional mission. It also looks into whether generated profit from investment meets initial target. In particular, it evaluates public institutions where manage pension funds. In addition, we assessed operating revenue and operation framework of Korea Investment Corporation (KIC). After investigating some cases that improperly managed asset regarding Korea Land Housing Corporation, and Korea Technology Finance Corporation, this report provides improvement plans.