Nonghyup Financial Group Takes Early Lead in Fund-Type Retirement Pension Market with "Triangular Formation" Strategy

Targeting the Pension Market with Top Returns, OCIO, and TDF

Nonghyup Financial Group Leads All Sectors in Returns

Tailored Pension Design for Farmers in Preparation for the New Retirement Pension System

NH Nonghyup Financial Group has established a group-wide "triangular formation" infrastructure encompassing its banking, securities, and asset management arms in response to the introduction of the fund-type retirement pension system, aiming to secure an early lead in the market. By combining the strengths of each subsidiary, the group seeks to secure the operational expertise and tailored asset management capabilities required by the fund-type system, with a strategy to lead the paradigm shift in the retirement pension market.

Chanwoo Lee, Chairman of NH Nonghyup Financial Group. NH Nonghyup Financial Group

According to the financial industry on April 10, Nonghyup Bank posted returns for non-principal-guaranteed products of 19.33% for defined benefit (DB) plans, 21.55% for defined contribution (DC) plans, and 22.04% for individual retirement pension (IRP) plans. As of the fourth quarter of last year, these were the highest returns in all categories among the five major banks.

NH Investment & Securities played a key role in achieving these results. NH Investment & Securities has built an industry-leading OCIO (Outsourced Chief Investment Officer) track record by managing large-scale public funds. In last year's Ministry of Employment and Labor's retirement pension provider evaluation, the company was selected as the top overall provider as well as the number one in the securities sector.

NH-Amundi Asset Management is also strengthening its competitiveness with retirement pension-focused products. Its flagship product, the "Hanaro TDF Series," recently surpassed KRW 1 trillion in net assets, underpinned by stable long-term performance.

NH Nonghyup Financial Group is also making efforts to expand its services beyond simply selling financial products, covering "life after retirement." Through its senior-focused brand "NH All One-derful," the group has established a "Senior Total Life Care Platform," providing retirement pension recipients with services ranging from tax consultation to customized asset planning.

In addition, the group is preparing for the introduction of the "Retirement Pension System for Farmers," one of the key national policy tasks for the grand transition in agricultural policy. The plan is to design a customized pension model that reflects the unique characteristics of farmers, such as high income volatility and concentrated assets in farmland.

Chanwoo Lee, Chairman of NH Nonghyup Financial Group, stated, "In the era of fund-type retirement pensions, it is difficult to meet the complex demands of companies and participants with the capabilities of a single company alone. By combining the return competitiveness and senior management capabilities of our bank, the OCIO expertise of our securities arm, and the global network of our asset management affiliate, we will present a new standard for the retirement pension market through integrated synergy."

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