South Korea's largest pension fund is reassessing its foreign exchange hedging approach and rethinking how much capital to allocate toward domestic equities. The move comes as global markets grapple with shifting monetary policies and currency volatility. Such strategic repositioning by major institutional players typically ripples across markets—potentially affecting everything from currency pairs to emerging asset classes. Pension funds control massive pools of capital, so even modest tweaks to their hedging tactics or regional allocation can reshape flow patterns. The decision reflects broader questions institutional investors are wrestling with: In a world of persistent rate uncertainty, how aggressively should you hedge currency exposure? Should domestic allocations increase, or stay conservative? These tactical calls by heavyweight institutions often serve as early signals of where smart money anticipates volatility. Worth monitoring how this unfolds, especially if other mega-funds follow suit with similar portfolio repositioning.