Hypervisor managed memory paging is provided in a data processing system having multiple logical partitions. The data processing system includes a shared memory pool defined within physical memory. The shared memory pool includes a volume of physical memory with dynamically adjustable sub-volumes or sets of physical pages associated with the multiple logical partitions. Each sub-volume or set is associated with a particular logical partition and includes mapped logical memory pages for that logical partition. A hypervisor memory manager interfaces the multiple logical partitions and the shared memory pool, and manages access to logical memory pages within the shared memory pool. The hypervisor memory manager further manages page-out and page-in of logical memory pages from the shared memory pool to one or more external paging devices. This page-out and page-in managing by the hypervisor memory manager is transparent to the multiple logical partitions.