South Korea Private School Teachers Pension Fund Posts 23.73% Return in H1 2026, Boosted by Direct Asset Management

According to Asia Economy, South Korea's Private School Teachers Pension Fund achieved a 23.73% return in the first half of 2026 as of June, significantly exceeding its 4-5% annual target. The outperformance was driven by direct asset management accounting for 54.21% of the portfolio, compared to 45.79% in delegated management.

The fund held 60.92% of its domestic stocks in the electrical and electronics sector, with semiconductor stocks driving gains during the first half. As of June, total assets under management reached 36.19 trillion Korean won. However, the pension system faces long-term challenges, with actuarial projections indicating fund depletion by 2047 amid declining student populations and early retirements from school closures.