South Korea’s National Pension Service reported a 27.2% return in the first half of the year, its best performance for the period since at least 2022, as a powerful domestic equity rally boosted performance at one of the world’s biggest pensions. The NPS, which had 1,866 trillion won ($1.35 trillion) under management as of the end of June, recorded a 107.4% return on domestic equities as the Kospi Index rallied to a record, according to a statement Friday. The strong showing reflects the impact of a surging local stock market on the pension fund’s portfolio, which is heavily weighted toward Korean equities.

This performance marks a significant turnaround for the fund, which has faced scrutiny over past underperformance and governance issues.