Korea Pension Fund Cuts Foreign Stock Plan by $20 Billion

South Korea’s National Pension Service will trim its exposure to overseas stocks this year to an estimated $20 billion less than it originally planned, recalibrating its portfolio in response to the Kospi’s blistering rally and the won’s decline.

NPS, which managed about 1,427.7 trillion won ($990 billion) as of October 2025, lowered its target for overseas equities to 37.2% from an earlier goal of 38.9%, the health ministry said Monday after the fund’s management committee meeting. The fund, one of the world’s biggest pension managers, will raise its domestic stock allocation to 14.9% from 14.4%, matching last year’s ratio.