A financial data screen in the dealing room of Hana Bank shows the benchmark Korea Composite Stock Price Index (KOSPI) up 32.12 points, or 0.41 percent, to close at 7,847.71 in Seoul, South Korea, 22 May 2026. South Korean stocks closed mildly higher amid rising hopes for a diplomatic resolution to the conflict between the United States and Iran. Photo by YONHAP / EPA
May 23 (Asia Today) -- South Korea's National Pension Service is drawing market attention over whether it will raise its target allocation for domestic stocks as it prepares to finalize its medium-term asset allocation plan for the next five years.
The fund management committee is scheduled to hold its fifth meeting in Seoul on Thursday to deliberate and approve the 2027-31 medium-term asset allocation plan, according to the financial investment industry.
The focus is on whether the fund will increase its target share of Korean equities. The pension fund set its year-end target for domestic stocks at 14.4% in its 2026 fund management plan last year, but its actual allocation rose sharply as the KOSPI continued to climb.
At a January meeting, the fund committee raised the domestic stock target by 0.5 percentage point to 14.9% and increased the domestic bond target by 1.2 percentage points to 24.9%. It lowered the target for overseas stocks by 1.7 percentage points to 37.2%.
