Korea’s Public Officials Benefit Association, with $7.2 billion under management, has been steadily building its alternative and offshore asset allocation, and plans to continue doing so, against a backdrop of global uncertainty and a recent cut in domestic interest rates.
Chief investment officer Jang Dong-hun spoke to AsianInvestor editor Richard Morrow about how and why it is doing so, despite having 47% in alternatives already. This includes exploring making allocations to asset such as farmland and timber.
Jang said Poba was also moving to raise its passive equity exposure, as it becomes increasingly difficult to obtain alpha from actively managed investments.
Please click below to watch the clip, which forms one of a series of interviews with Asian institutional investors, conducted in conjunction with State Street Global Advisors.