Mirae Asset Global Investments Hosts 'Interest Rate Cut Retirement Pension DB Management Seminar'

Mirae Asset Global Investments announced on the 11th that it held a ‘DB Pension Fund Management Seminar in a Low Interest Rate Environment’ jointly with Mirae Asset Securities and global consulting firm Aon.

As a leader in the pension market, Mirae Asset Global Investments shared its investment strategy know-how accumulated through managing pension funds with corporate representatives. As of the 7th, Mirae Asset Global Investments’ pension fund assets under management amounted to approximately KRW 12.3 trillion. This is the largest scale among domestic asset managers, accounting for about 26% of the entire pension fund market (approximately KRW 46.6 trillion).

In the first session of the seminar, Sim Kyung-min, head of the Pension Consulting Team at Mirae Asset Securities, gave a presentation on the ‘Necessity of DB Asset Management.’ Sim emphasized that although average returns are similar, volatility significantly decreases with longer investment periods, explaining the importance of asset allocation, which is the most critical factor for long-term performance, and the installment investment strategy that can reduce market timing risk.

In the second session, Chae Won-seok, division head at Aon, presented on the ‘Global DB Asset Management Process and Korean Application Cases.’ Chae introduced global cases and stressed the need for customized client strategies considering assets and liabilities, diversification of assets through alternative investment portfolios, and active market response through regular monitoring.

In the final session, Kim Se-hwan, team leader of the Bond Management Division at Mirae Asset Global Investments, introduced ways to maximize operational efficiency in a low interest rate environment under the theme ‘DB Bond Management Strategy in a Low Interest Rate Environment.’ Kim explained the investment attractiveness of bonds in a low interest rate environment and presented stable return generation strategies through bonds, including bond maturity matching strategy, bond maturity matching +α strategy using leverage, and callable long-term high-quality bond investment strategy.

Son Su-jin, head of the WM Pension Marketing Division at Mirae Asset Global Investments, said, "As expectations for interest rate cuts rise recently, the need to review the management strategy of the DB-type retirement pension system is increasing," adding, "We hope this seminar, which shared optimized asset management strategies and various investment ideas, will serve as an opportunity to explore new possibilities in retirement pension management."