보건복지부 영문홈페이지

Better Returns on National Pension Fund
Based on Enhanced Fund Management Infrastructure

 

- 3rd National Pension Fund Management Committee Meeting held on June 23 -

- Committee announced a plan to improve fund management infrastructure for higher returns-

 

<Summary>

 

The National Pension Fund Management Committee (hereinafter “the Committee”) discussed the “ways to improve fund management infrastructure for higher returns on the National Pension Fund” at its 3rd meeting on June 23, Friday.

 

The Ministry of Health and Welfare worked out the plan after President Yoon Suk Yeol ordered that “a special plan be developed to raise returns on the National Pension Fund” at the Chief Secretary Meeting on March 6, 2023.

 

Under the plan, leading professionals in fund management with a strong track record and experience in asset allocation for major pension funds in Korea and abroad will be employed from the private sector, with an emphasis on strategic asset allocation, and the salaries offered for fund management personnel will be increased to recruit and hire qualified, experienced fund managers.

 

Moreover, the committee has agreed to recruit more fund management personnel to expand alternative investments that deliver solid returns and to look into opening new overseas offices in major financial centers, including San Francisco, USA, to serve as a strategic base for exploring new overseas investment opportunities.

 

The Ministry of Health and Welfare plans to work closely with the competent budget authorities on tasks that require budget planning, including pay increases for fund managers and the opening of overseas offices.

 

The committee approved the “2022 National Pension Fund Management Performance Review (tentatively plan)” and the “Merit-based bonus payment plan for National Pension Service Investment Management (tentatively plan).” The committee decided to distribute a 51.1% bonus to the fund management personnel of the National Pension Service Investment Management for 2022 fund performance.

 

Minister of Health and Welfare Cho, KyooHong said, “Raising the returns on National Pension Fund is an important policy tool to mitigate future generations’ financial burden of increases in contributions, and it is crucial to building the groundworks to raise the fund’s returns amid talks about reform of the National Pension Scheme.” He added, “The successful implementation of the plan will help ensure the fund’s sustainable viability as a valuable source of post-retirement financial security for people.” ///