The National Pension Fund Management Office adjusted its domestic stock investment portfolio in the fourth quarter of last year (October to December) by increasing the proportion of stocks in the gaming and retail sectors. It also increased the investment weight in stocks that have entered an undervalued phase relative to their performance.
According to the Financial Supervisory Service's electronic disclosure system (DART) on the 7th, the National Pension Fund Management Office increased its shareholding in Emart from the previous 7.95% to 10.10% in the fourth quarter of last year. It also increased its shareholding in retail-related stocks such as Lotte Shopping, Hyundai Department Store, and ORION. It seems to have begun buying undervalued stocks.
The National Pension Fund Management Office also increased its shareholding in NCSoft, SHIFT UP, and DoubleU Games by approximately 1 percentage point each in the gaming sector. The gaming sector is ahead of new releases this year and is relatively less affected by external uncertainties.
In addition, the National Pension Fund Management Office expanded its equities in ▲CS WIND, SK oceanplant, STX Engine in the wind power sector ▲Hanwha Systems, Poongsan in defense ▲HL Mando in automotive parts ▲PSK, P&H Tech in semiconductor and display materials and equipment. Most of these corporations are expected to continue an upward trend in performance this year.
Conversely, the National Pension Fund Management Office reduced its equity in some bio stocks, including LigaChem Biosciences, VUNO, ABL Bio, HK inno.N, as well as cosmetics-related stocks such as CLIO Cosmetics, C&C International, PharmaResearch, and Shinsegae International.
In particular, it sold off a significant portion of its equity in ISU PETASYS, which had been embroiled in a paid-in capital increase controversy, and also reduced its stake in Korea Zinc by more than half, where the stock price surged amid a management dispute.
The annual revenue yield of the National Pension Fund Management Office was 11.34% as of the end of October last year. This exceeded the average annual revenue yield (5.92%) since the establishment of the National Pension in 1988. The revenue yield of foreign stocks was 26.52%, driving overall management performance. The revenue yield of domestic stocks was -0.87%, but compared to a 4.8% decline in the benchmark KOSPI 200 index during the same period, it performed relatively well.