South Korea National Pension Service developments

South Korea’s National Pension Service (NPS) underwent leadership changes and significant asset fluctuations in late 2026.

In mid-September, the NPS appointed Kyuhong Lee as Chief Investment Officer (CIO) to oversee a portfolio valued at approximately 1,866 trillion won. Lee, a former CIO of the Teachers’ Pension, assumed the role for a two-year term effective September 15.

Data from July indicated a sharp decline in fund assets, which dropped from 1,865.6 trillion won in June to 1,684.2 trillion won by the end of the month. This 181.4 trillion won decrease (9.7%) was driven by a simultaneous correction in domestic and international stock markets. Domestic equity valuations decreased by 124.6 trillion won (22.9%), while overseas equity valuations fell by approximately 37 trillion won.

As a result of these market shifts, the NPS year-to-date investment return rate fell from 27.22% in June to 14.84% in July. Despite the decline, the NPS reported that its domestic stock returns of 60.11% year-to-date still outperformed the KOSPI, which stood at 56.51%.