NPS Unveils Next-Generation
Global Investment Integration System



- With the creation of a dedicated network for global investments, its global investment environment is expected to greatly improve.

- It will enable timely and prompt decision-making, facilitating direct investment in foreign markets.

The National Pension Service (NPS; Chairman & Chief Executive Officer Kim Tae-hyun) announced today that the NPS Investment Management unveiled a global investment integration system that unifies order and portfolio management of global equity, fixed income, and multi-asset, previously implemented separately.

This groundbreaking enhancement will not only enable timely and prompt investment decision-making, but also strengthen the infrastructure of direct investment in foreign markets, ultimately helping enhance returns.

A key change introduced by the adoption of the system, part of the NPS’s Next-Gen Intelligent Pension Welfare Integration Platform Establishment Project*, is the creation of a uniform investment environment in both the overseas offices and headquarters, using a single platform that executes order and portfolio management of global assets, as well as a cloud-based network dedicated for global investments.

* The project aims to deliver more advanced pension services to the people by comprehensively reforming outdated systems associated with pension eligibility, benefits, and fund management in 15 years after the launch of the systems.

Previously, different systems were used for order and portfolio management of each asset class (e.g. global equity, fixed income, and multi-asset), making it inconvenient to manage them in a holistic way. With the adoption of the system, key functions, which were once dispersed, are now unified, enriching workflow efficiency.

Another challenge was a slow and restricted internet connection in its overseas offices, which had to rely on servers from service providers in Korea only. By creating a dedicated network for global investments, internet connectivity in the overseas offices is improved, thereby facilitating timely and prompt investment decision-making.

Moreover, in order to stay ahead of rapidly evolving financial market trends, Artificial Intelligence (AI) technologies are integrated into the existing systems, boosting operational efficiency and focus on tasks. Research reports from securities firms are automatically summarized and translated, while extensive market data is displayed at a glance. This will help save time and support more informed investment decision-making.

Risk management is also bolstered in line with the scale of the assets under management exceeding KRW 1,100 trillion. By capitalizing on both structured data, such as numerical data, and unstructured data, including text-based sentiment indexes from news and social network sites, the early warning monitoring process on countries and companies is systemized.

Kim Tae-hyun, Chairman and CEO of NPS, said: “This system has laid a stepping stone to invest the retirement savings of the people in a more efficient and stable manner. Through the digital revolution and constant transformation and innovation, we will continue to make groundbreaking improvement in our global investment ecosystem that aligns with global standards to enhance returns.”

Now that the operating system for global investments is ready for use, the NPS will continue to cooperate with BlackRock for system upgrades, as well as State Street Bank Trust and BNY Mellon, for order management support to stabilize the system.

<Appendix 1> Q&A: Global Investment Integration System

<Appendix 2> Signing Ceremony for Record of Discussion