National Pension Fund 2006 Highlight

1.1. The Management of the National Pension Fund 9

1.2. The Climate of the Fund Management 15

2. National Pension and Its Fund

2.1. National Pension in a Nutshell 19

2.2. Financial Projections 23

2.3. The Role of the National Pension Fund 25

3. The Financing and Management of the National

Pension Fund

3.1. Financing and Management 29

3.2. Investment Environment 34

4. The Management System of the National Pension Fund

4.1. Fund Management System and Workflow 47

4.2. Fund Management Committee and Evaluation Committee 50

4.3. Ministry of Health and Welfare 53

4.4. National Pension Service 55

4.5. National Pension Fund Management Center 60

4.6. National Pension Research Institute 67

4.7. The Reform of the governance of the National Pension Fund 70

5. Investment Management of the National Pension Fund

5.1. The Objective of Fund Management 75

5.2. The Principles of Fund Management 76

5.3. The Guideline 77

5.4. Asset Allocation Strategy 81

5.5. Risk Management System 84

5.6. Issues and Changes in the Fund Management 87
6. The Performance of the National Pension Fund

6.1. Overall Performance 93

6.2. Financial Sector 98

6.2.1. Bonds 101

6.2.2. Equities 108

6.2.3 Other Financial Sectors 115

6.3. Welfare Sector 117

7. Finance and Account

7.1. National Pension Special Accounting 123

7.2. Financial Statements 127

7.3. Auditor’s Report 133