National Pension Service (NPS) Director Kim Sung-ju said there is a possibility that the National Pension Service could expand its KOSDAQ investments if it determines that more revenue can be generated in a stable manner.
On the 29th at Space Share Seoul Station, Kim said at a New Year's press briefing, "Looking at the KOSPI market and the KOSDAQ market, it is true that, relative to the overall size, we are investing relatively less in KOSDAQ," adding, "That is due to risk management considerations regarding high volatility."
Kim added, "However, when you actually compare them, there are cases where the rate of return on KOSDAQ appears higher than KOSPI," noting, "That is our dilemma."
Kim said, "I cannot confirm whether we plan to further increase (investment in the KOSDAQ market)," but added, "However, if we determine that more revenue can be generated stably, we will naturally do so (increase the weighting)."
Kim explained, "The National Pension Service has a principle of pursuing long-term stability, so we have no choice but to manage very conservatively," adding, "We have had internal discussions and debates on how to address that issue."
Kim said, "Once the policy is refined, it could show up as changes in the market."
Meanwhile, the National Pension Service (NPS) Fund Management Center disclosed that as of the end of Nov. last year, it posted a provisional rate of return of 17.34%. By asset, returns were 70.07% for domestic stocks, 20.44% for overseas stocks, 0.73% for domestic bonds, 6.34% for overseas bonds, and 5.89% for alternative investments.