National Pension Service of Korea

National Pension Service of Korea has a Stewardship Code, where it describes its approach on sustainability themes and impact topics with investees. The financial institution’s engagement policy includes a clear framework with success criteria and escalation points in the event that engagement with investees is unsuccessful. It publishes Stewardship Code report describing how the engagement policy is applied in practice.

No leading practices were identified for National Pension Service of Korea in the respecting planetary boundaries measurement area.

No leading practices were identified for National Pension Service of Korea in the adhering to societal conventions measurement area.

In terms of its approach to senior leadership accountability, National Pension Service of Korea has an opportunity to assign responsibility for sustainability to its highest governing body and link the remuneration of its executive or management teams to sustainability performance criteria. Furthermore, no evidence was found that the financial institution is committed to gender equality and women’s empowerment. National Pension Service of Korea could disclose the proportion of women in senior leadership roles as well as how it addresses any gender pay gaps. Similarly, National Pension Service of Korea could publish case studies describing where it has engaged successfully with investees on sustainability themes and impact topics.

There is no evidence that National Pension Service of Korea discloses a target to reach net-zero financed emissions by 2050. It has an opportunity to disclose the key sectors and companies it has identified as priorities to engage with on climate change, specifically on the alignment with the Paris Agreement. Furthermore, it could disclose the amount of its investment devoted to climate solutions. Regarding nature and biodiversity, no evidence was found that the financial institution is committed to minimising its negative impacts or financing regenerative solutions.

There is no evidence that National Pension Service of Korea has a publicly available policy statement committing it to respect human rights laid out in the UN Guiding Principles and the ILO declaration on fundamental rights at work. Therefore, it has an opportunity to describe a comprehensive process for identifying its human rights risks and impacts across all its activities, especially its investment activities. It also has an opportunity to disclose the proportion of its total direct operations workforce for each employee category by age group, gender or another indicator of diversity. To provide transparency on financial inclusivity, National Pension Servive of Korea could disclose the amount of finance directed towards low-income developing countries.