NPS Posts 4.08% Return in H1 2025

- The Fund’s assets at KRW 1,269 trillion, up KRW 56 trillion from year-end - 

- Cumulative investment income of KRW 787.5 trillion since inception in 1988 -

The National Pension Fund delivered a return of more than 4% in the first half of 2025.

The NPS Investment Management, a dedicated fund management arm of the National Pension Service (NPS; Chairman & Chief Executive Officer Kim Tae-hyun), today announced a preliminary money-weighted return of 4.08% in the first half of 2025, bringing the Fund’s total assets under management to approximately KRW 1,269 trillion, up KRW 56 trillion from the end of 2024.

Investment income earned during the six-month period was KRW 50 trillion, raising cumulative investment income since the inception of the National Pension Plan in 1988 to KRW 787.5 trillion.

Global asset performance in Korean won terms remained somewhat sluggish due to the weakening of the U.S. dollar against the local currency amid U.S. tariff uncertainty, while domestic equities delivered double-digit returns, contributing positively to overall fund performance.

The best performing asset class was domestic equity with a return of 31.34%, followed by domestic fixed income at 2.34%, global equity at 1.03%, alternatives at -2.86%, and global fixed income at -5.13%.

Fueled by optimism surrounding new government policy initiatives and renewed investor interest in undervalued Korean stocks, domestic equities rallied in the first half of 2025, which drove overall fund performance. Meanwhile, global equities experienced a turbulent start to 2025, marked by tariff uncertainty and recession fears; however, as the volatility gradually subsided, tech stocks gained momentum, shifting returns from negative to positive.

* Domestic Stock Market (KOSPI): up 28.01% compared to the end of 2024

  Global Stock Market (MSCI ACWI ex-Korea, USD): up 9.59% compared to the end of 2024

  USD/KRW exchange rate: down 7.73% compared to the end of 2024

Global and domestic bond markets saw a decline in market interest rates on concerns over an economic slowdown stemming from weak U.S. economic indicators. Amid such circumstances, domestic fixed income delivered a positive return, supported by valuation gains from declining interest rates, while global fixed income posted a negative return, affected by a fall in the USD/KRW exchange rate.

* Korean Treasury (3-year): down 14.1bp compared to the end of 2024
U.S. Treasury (10-year): down 29.2bp compared to the end of 2024

Returns on alternative assets are primarily generated from interest and dividend income, together with a foreign exchange gain/loss resulting from currency fluctuations, and fair value adjustments are not reflected in the performance.

National Pension Fund as of June 30, 2025

□ Fund Status

※ Figures do not add up due to rounding.

□ Investment Performance

(money-weighted return, KRW trillion, %)

□ Reference Index