Korea’s Pension Fund Starts FX Hedging After Swap With BOK

South Korea’s state-run pension fund has activated a foreign-exchange swap agreement it recently signed with the Bank of Korea, according to a person familiar with the matter.

The National Pension Service also started currency-hedging transactions with the central bank this week, the person said, who requested anonymity because they’re not authorized to speak publicly. They didn’t specify whether the hedging was tactical or strategic.