Core Viewpoint - The National Pension Service of South Korea will adopt a flexible approach to foreign exchange hedging in response to market conditions [1][5]. Group 1: Foreign Exchange Hedging Strategy - The fund's management committee has decided to implement flexible measures that allow for strategic hedging based on market conditions [1][5]. - The current hedging limit is set at 10% of overseas assets [2][6]. Group 2: Market Context - The decision is driven by a surge in domestic demand for US dollars, influenced by both the National Pension and retail investors' portfolios, amid a significant depreciation of the Korean won in the second half of the year [2][6]. - The Korean won has depreciated over 8% against the US dollar, making it the worst-performing currency in Asia during this period [3][7]. Group 3: Currency Swap Agreement - The Ministry of Health and Welfare, which oversees the National Pension, announced an extension of the foreign exchange swap agreement with the Bank of Korea for an additional year, until the end of 2026 [3][7]. - The swap limit has increased from $10 billion in 2022 to $65 billion [4][8]. - Following the announcement, the Korean won appreciated against the US dollar, with the exchange rate dropping by 1% to 1,463.65 won per dollar from around 1,472 won [4][8].
韩元加速贬值之际 韩国国民年金将根据市况灵活开展外汇对冲
Xin Lang Cai Jing·2025-12-15 10:24