ESG Investment to Increase to 500 Tril. Won by 2024

The National Pension Service (NPS) is planning to boost its environmental, social and corporate governance (ESG) investment to 500 trillion won by 2024.

The National Pension Service (NPS) is planning to boost its environmental, social and corporate governance (ESG) investment. According to its roadmap, the ESG investment is scheduled to be increased to 500 trillion won by 2024.

“These days, interest in ESG is increasing in the global financial environment,” the NPS explained, adding, “According to the Principles for Responsible Investment, ESG-reflected investment assets soared from US$6.5 trillion to US$103.4 trillion from 2006 to this year.”

Such assets of the NPS are scheduled to represent approximately 50 percent of its investment assets in 2022. The pension fund operator said that its ESG integration strategy would be applied to its overseas stock and domestic bond assets starting from next year.

The NPS owned 71.6 trillion won of domestic stocks at the end of last year, equivalent to 10 percent or so of the entire pension fund. At that time, only 27 trillion won was managed based on its ESG strategy. When it comes to the domestic stocks of the NPS under trust management, only five trillion won out of 60 trillion won was based on the same strategy.


This implies that the ESG investment expansion of the NPS will revolve around overseas stock and domestic bond assets. At the end of last year, it overseas stock and domestic bond investments were 166 trillion won and 322 trillion won, respectively.

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