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NPS Prioritizes Shareholder Value in Overseas Voting

Finance · Investment Managers · yonhap_finance · 2026-08-24

The National Pension Service (NPS) of South Korea has actively exercised its voting rights in overseas markets, focusing on long-term shareholder value.

What Happened

Voting Activity: The National Pension Service (NPS) exercised its voting rights at the annual general meetings of at least 41 overseas companies between the second half of last year and the first half of this year. Most of these companies are listed in the U.S., and the NPS voted against 90 out of 300 total proposals.

Strategic Approach: While the NPS maintained a high approval rate of 86.1% for board-sponsored proposals, it took a firm stance against measures deemed detrimental to shareholder rights, such as the long-term reappointment of outside directors. Conversely, it supported shareholder proposals that aligned with enhancing shareholder value, often siding with minority shareholders.

Filtering Non-Business Proposals: The fund consistently opposed shareholder proposals driven by political or ideological agendas that appeared disconnected from core business operations. At companies like Meta and Alphabet, the NPS rejected proposals related to social issues, citing a lack of clear correlation with long-term shareholder value enhancement.

Portfolio Growth: As of the end of June, the NPS held approximately 214 trillion won in U.S. listed stocks, marking a 14.8% increase from the end of last year. The fund continues to balance supporting management for corporate stability with strategic voting to protect and grow the value of its global equity holdings.

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