Samsung Asset Management held a seminar to mark the 10th anniversary of the domestic introduction of target date funds (TDF).
Samsung Asset Management said on the 13th that it held a seminar on the 12th at the Westin Chosun Seoul, inviting domestic retirement pension providers under the theme "Samsung TDF, beyond the first 10 years." The event was organized to look back on the results over the 10 years since Samsung Asset Management first introduced a Korea-style TDF in 2016 and to share a roadmap for a new leap for TDFs amid a rapidly changing pension market.
Kim Dae-hwan, a professor at Dong-A University, opened as the first presenter with a lecture on "The past and future of the Korea TDF market." Kim pointed out the long-standing challenge of the domestic retirement pension system—"low returns"—and suggested moving away from the practice centered on principal-and-interest guarantees.
Kim said, "To secure sufficient income in old age, it is essential to use the institutional tool of the default option, with TDFs at its core," adding, "For the success of the pension system, the entire process—from simply accumulating funds to maintenance and payout—must be organically designed to align with subscribers' life cycles."
Discussion then continued under the theme "Samsung TDF 10-year review and future direction." Lim Byung-hyo, head of multi-asset management at Samsung Asset Management, said, "Rather than being swayed by short-term market forecasts, Samsung TDFs have been managed based on the principles of global diversification and systematic asset allocation," adding, "Thanks to this consistency, we have been able to build a diverse vintage lineup that spans all generations, from young adults to those nearing retirement."