China's Social Security Fund Operational Risk Control

The investment of social security fund is very important to the development of social security and economy. However, according to some historical and institutional reasons, our country's social security system has not been constructed completely, and its security ability can not meet the requirement of social development, which can be seen in the narrow coverage of social security and the increasing deficiency of the social pension funds aspects. In order to solve this problem on one hand, we must push the reformation of our social security system continuously, and on the other band, we must make careful investment, preserve and increase the value of pension funds, which is also the urgent problem in the course of Chinese economic development. Owing to the particularity of social security fund, we must try to control its risk, and this article is about it.First of all, this article reviews the concept of our social security funds , the payment pressures it faced in the present time and the performances of social pension funds investment. Then, it discusses the investment experiments of foreign pension fund sand it apocalypse to our country. After that, the article analyses the pension fund investment from the investment domain, target and portfolio aspects. And then, with the modern investment theories and relative data, the article just builds up a Dynamic Portfolio Model under a Capital at Risk Constraint for Chinese social pension funds. Finally bases on all the above research, this article gives some suggestions about the social pension funds investment from own opinions, and wishes then can be helpful to the social pension funds investment.