The National Pension Service (NPS), South Korea’s largest pension fund and the biggest outside shareholder of Samsung Electronics Co., would have pocketed nearly 6 trillion won ($5 billion) this year in unrealized stock gain thanks to more than 40 percent jump in the bellwether technology stock.

The fund estimates its return on investment in domestic stock investment to average 6.2 percent, according to the fund’s investment office on Sunday. That’s higher than the 5.7 percent of the industry benchmark measured by the Korean Composite Stock Price (Kospi) Index and select dividend yields.

The return on investment translates into 5.9 trillion won, more than four times of what the fund earned last year. It would post the biggest stock earnings after 10.4 percent gain in 2012.

Most of the fund’s profit came from Samsung Electronics which represents 21 percent of domestic stocks worth 100 trillion won held by the fund. Samsung Electronics’ market capitalization makes up for 18 percent on the main Kospi market. The company’s stock price was up nearly 44 percent from 1,260,000 won at the end of last year to 1,810,000 won on Dec. 20 this year.

Besides Samsung Electronics and other Samsung Group companies (6 trillion won in total investment yield), the fund gained 1.2 trillion won from Posco Group, 1.1 trillion won from SK Group, 580 billion won from Hyundai Heavy Industries Group, 270 billion won from KT Group, 260 billion won from Hyundai Motor Group, 210 billion won from GS Group and 200 billion won from Doosan Group. It expects unrealized loss of 740 billion won in LG Group and 600 billion won in CJ Group, 150 billion won in Hyundai Department Store Group and 100 billion won in Shinsegae Group.

The fund’s biggest investment yield this year came from Aekyung Petrochemical with 140.0 percent, followed by Baeksan (111.2 percent), Posco C&C (76.5 percent), Posco Daewoo (74.0 percent) and Hyundai Heavy Industries (71.4 percent).

By Choi Jae-won

[ⓒ Pulse by Maeil Business News Korea & mk.co.kr, All rights reserved]