Grand National Party Approves Stock Investment of Pensions and Funds

The Grand National Party decided yesterday to approve the revision of the management law of pensions and funds suggested by the ruling party to allow its investment in stocks, under the condition that the politically neutral operation of the funds will be guaranteed.

As a result, the chance became high that the bill will be passed in the National Assembly regular session. The GNP has been opposed to the revision of the fund management law so far.

Ryu Seung-min, the third policy mediation board chair of GNP, said in a press conference held the same day in the National Assembly, “We decided to change our party’s initial opposing stance to approve the revision of the fund management law if the ruling party agrees on the principles such as neutral, responsible, and transparent operation of the pensions and the funds.”

The GNP suggested making people in charge be responsible for any loss due to inappropriate operations by civil and criminal liability, while it asked for neutral operation to be guaranteed by prohibiting government intervention in the stock market using the funds.

Yeon-Wook Jung jyw11@donga.com