NPS’ April investment return improves but still negative

The National Pension Service (NPS) posted a preliminary negative 2.57% return on investment in April 2020. It improved by 3.5 percentage points compared to a negative 6.08% return on investment in March, but remained on the negative side as the impact of Covid-19 lingered.

Domestic and global stocks returned minus 10.21% and minus 9.43% respectively after the stock market tumbled and the economy weakened on fears over Covid-19, the NPS said on June 30. In March, domestic and global stocks returned minus 18.52% and minus 16.90% respectively. 

Domestic and global fixed income returned 1.25% and 8.80%, showing positive results as gains on valuation increased while global interest rates fell with the governments’ stimulus package.

Alternatives returned 4.78%. The return was mostly due to interest, dividend incomes and foreign exchange gains. The results are subject to change, depending on the value assessment of alternative assets and exchange rates. (Reporting by Hyewon Chang)