National Pension Service to Expand Domestic Stock Investment Ratio? Discussion on Ratio Adjustment Scheduled for the 26th

[Asia Economy Reporter Park So-yeon] The National Pension Service is considering increasing the target proportion of domestic stock investments.

According to the Ministry of Health and Welfare on the 24th, the National Pension Fund Management Committee (Fund Committee), the highest decision-making body of the National Pension Service, will hold a meeting on the 26th to review the 'National Pension Fund Management Rebalancing System Proposal.'

The committee is reportedly considering expanding the domestic stock investment ratio to around 20%.

This measure appears to have been prepared in response to controversy over the National Pension Service mechanically selling assets in the domestic stock market to meet the set investment targets.

According to the portfolio rebalancing plan, the National Pension Service must adjust the proportion of domestic stocks to 16.8% of the total financial assets by the end of the year.

However, as of the end of last year, the domestic stock ratio was 21.2%, requiring asset sales in the stock market. As a result, pension funds including the National Pension Service continued a net selling streak in the KOSPI market for 51 consecutive trading days from December 24 last year to June 11 this year.

If the domestic stock ratio is expanded, the National Pension Service's selling pressure is expected to weaken or end.

However, criticism is expected to follow that the National Pension Service revised its asset management plan due to backlash from so-called 'Donghak Ants' and other individual investors.

Investor rights protection groups criticize, "The National Pension Service's continuous selling behavior is a clear act of betrayal against individual investors who led the index rise," but the economics community expresses concern that demands such as 'the National Pension Service should buy stocks to protect the stock market' could undermine the independence and autonomy of the National Pension Service's fund management, which is a retirement safety net for the people.

This content was produced with the assistance of AI translation services.