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Korea's National Pension Fund to be Invested in Overseas Hedge Funds
Investment in Hedge Funds
Korea's National Pension Fund to be Invested in Overseas Hedge Funds
  • By Jung Suk-yee
  • April 8, 2016, 09:45
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The National Pension Service (NPS) of Korea decided to invest 250 million euro in Macquarie European Infrastructure Fund 5 (MEIF5).
The National Pension Service (NPS) of Korea decided to invest 250 million euro in Macquarie European Infrastructure Fund 5 (MEIF5).

 

The National Pension Service (NPS) will start to invest around 1 trillion won (US$866.7 million) in overseas hedge funds this year for the first time in its history.

The committee for public pension fund operation held a meeting under the presidency of health minister Chung Chin-youb in the morning on April 8 and made such a decision by revising the national fund operation guidelines.

The decision was made reportedly in a bid to diversify its investment portfolios. According to the decision, the national fund investment will be carried out in the way of re-indirect investment after selecting entrusted fund operators, and target first on hedge funds overseas that have well-established systems for the investment.

The scale of the investment in the future will be adjusted depending on market situations.

The NPS investment reached 511 trillion won as of last year, including 268.6 trillion won of domestic bonds, 94.9 trillion won worth of local stocks and 69.9 trillion won worth overseas stocks.