Research On Investment And Regulation Of Occupational Pension Funds In China

With the tough situation of aging problem and harder pressure of basic pension, occupational pension, the second pillar of endowment insurance, has become the very focus of the government and the society. Since 1991, we have established occupational pension system and have made a great progress. However, because of large scale of occupational pension, the request of safety, maintenance and appreciation is being put on the agenda. Therefore, how to evaluate the safety, maintenance and appreciation capacity of occupational funds turns to be the main issue of investment supervision. Occupational pension fund supervision mainly evaluates, finds and tackles problems in operation progress, aiming at reducing risk and guarantee the safety of occupational pension fund. How to find safe and effective investments and a sensible strategy to get into the capital market is essential for the supervision and management pattern in our country. Furthermore, it is also important for our endowment insurance reform and our capital market and finance system.First of all ,this essay make a comparison between the situation in China and western countries and put forward many problems in our occupational pension system, such as immature capital market, limited investment channel and half-baked statutes on investment.Secondly, because we have no any forbidden request on the supervision of occupational pension investment achievement, this essay makes some suggestions: first, we can guarantee the profits of beneficiaries by laws. Second, we can establish multilayer risk accommodate mechanism, including building special provisions of risk, investment Guarantee Agency by government and risk forecasting system.Finally, according to the narrow scope of occupational pension investment, we suggested to broaden the investment scope and permit to invest on the international security market. Furthermore, because we are experiencing the moment of great increase of fixed assets, it is sensible to invest on infrastructures which have a long period, steady cash flow and less inflation risk.