On Legal Regulation Of Occupational Pension Fund Investments

How to invest and manage occupational pension fund is a critical subject because it is closely related to what we can provide for billions of the aged. Risks always go along with investment, including agent risk, investment combination risk and other market risks. How to control risks, induce cost and ensure the safety and benefit of occupational pension fund? This paper tries to discuss this problem from the angle of law.The first part clarifies three concepts: occupational pension, occupational pension plans and occupational pension fund, then analyzes the necessity of setting up and investing the occupational pension fund. Occupational pension is complementary pensions in China and an important pillar of pension system. Because the mode of"hand in while hand out"can't resist present old-aged risk, we have to invest the fund to increase income through fund accumulation for the sake of storage wealth for the future.The second part starting from the reality of China discusses the proceedings of occupational pension fund investment and management in our present system, and explains the legal relationship among every involving party. On the basis of legal relationship, this part points out the particularity of occupational pension fund investment, emphasizing the special problem between client and fiduciary, the fiduciary and investing manager. It deserves special attention that fiduciary and managing relationship is original in this paper. Although many scholars directly define the relationship between client and fiduciary as trust, this paper specializes the relationship as fiduciary and managing on the consideration of special request of occupational pension fund. The special request refers to worker as one of clients has participated in the choice of investment combination, which breakthrough the principal of trust. It is not practical to amend the trust theory just for occupational pension fund, nor wise to give up beneficiary practice for theoretic limit. Hence, the attitude of this paper is to create an exception.The third part investigates risks in occupational pension fund investment: First kind is investment combination risk. Second kind is agent risk which is deduced from...