The National Pension Fund's revenue for last year was confirmed at 15.32%. The performance-based pay rate of the fund management headquarters was set at 36.5% of the base salary.
The National Pension Fund Management Committee (Fund Committee) held its 4th meeting and noted that it deliberated and decided on the performance evaluation of National Pension Fund management for 2024 and the performance-based pay rate of the National Pension Fund management headquarters.
The National Pension Fund's revenue last year was the highest since 2000. Overseas stocks and bonds played a significant role. The revenue by asset class was ▲overseas stocks 34.55% ▲overseas bonds 17.65% ▲alternative investments 17.2% ▲domestic bonds 5.47% ▲domestic stocks -6.96%.
The Fund Committee explained that the global stock market rose amid interest rate cuts in major countries and especially in technology stocks, leading to high revenue. However, the benchmark revenue rate representing the average performance by asset class (15.54%) fell slightly short.
The performance-based pay rate of the fund management headquarters decreased by 3.4 percentage points from last year, set at 36.5% of the base salary. The performance-based pay rates have shown a downward trend: 86.7% in 2020, 67.7% in 2021, 51.1% in 2022, and 39.9% in 2023. This is because the performance-based pay rate reflects excess performance against the benchmark revenue over the past three years at a ratio of 5:3:2.
The Fund Committee urged that this year, amid increasing uncertainty in the global financial market, the fund management headquarters should respond promptly to achieve stable results.