Pension funds
Korea Post's savings arm earns 8.45% return in H1
Equities and alternative assets lift the average investment return
By Oct 12, 2021 (Gmt+09:00)
1
Min read
Most Read
S.Korea's LS Materials set to boost earnings ahead of IPO process
![close](/images/ico/eyes/close.png)
![open](/images/ico/eyes/open.png)
Macquarie eyes its 1st Korean data center valued around $722 mn
![close](/images/ico/eyes/close.png)
![open](/images/ico/eyes/open.png)
Galaxy Ring, new foldables set to steal the show at Samsung Unpacked Paris
![close](/images/ico/eyes/close.png)
![open](/images/ico/eyes/open.png)
SK Inc. in talks to sell Pharmteco’s US CDMO plant to Novo Nordisk
![close](/images/ico/eyes/close.png)
![open](/images/ico/eyes/open.png)
POSCO gears up for carbon-free steelmaking with hydrogen
![close](/images/ico/eyes/close.png)
![open](/images/ico/eyes/open.png)
![Korea Post's savings arm earns 8.45% return in H1](https://www.kedglobal.com/data/ked/image/2021/10/09/ked202110090001.677x.9.jpg)
Double-digit returns from equities and alternative assets offset flat to negative gains from fixed-income investments, according to Korea Post's announcement on Oct. 8.
Compared with benchmarks, however, both domestic and overseas equities missed their benchmarks in the January-June period, while alternative and fixed-income assets outperformed.
The proportions of overseas equities and alternatives rose to their highest level in five years for the savings arm as of end-June.
Asset type | H1 return | H1 benchmark |
Domestic equities | 14% | 15.05% |
Overseas equities | 17.03% | 17.58% |
Alternatives | 15.62% | 5.7% |
Domestic fixed income | 0.34% | -0.35% |
Overseas fixed income | -2.23% | -3.27% |
In the entire year of 2020, Korea Post's savings unit logged an average 4.29% return. It manages 83.7 trillion won ($70 billion) in assets as of end-June.
Last month, it netted slightly over 1 trillion won from the block sale of shares in the country's largest internet-only lender KakaoBank. The state-run body achieved about a tenfold return from the pre-IPO investment in six years.
Write to Jae-fu Kim at hu@hankyung.com
Yeonhee Kim edited this article.
More to Read
-
-
Pension fundsKorean pension funds log above-benchmark H1 returns
Aug 09, 2021 (Gmt+09:00)
2 Min read -
Leadership changeKorea Post names new CIOs of savings, insurance arms
Feb 09, 2021 (Gmt+09:00)
1 Min read
Comment 0
LOG IN