The Study On Investment Operations Of Residential Maintenance Funds

Residential maintenance funds are “pension” for the house. With the expansion of thehousing market, the amount of maintenance funds collected throughout is growing. But thereis no corresponding increase in the proportion of use, which results in a growing number ofmaintenance funds idle in bank accounts. The relevant department has failed to take anyeffective and feasible investment strategy, causing no value maintenance and valueappreciation to the maintenance funds. This can seriously harm the vital interest of the owner.Firstly，this paper selects relevant data about the interest of bank deposits and governmentbonds from the year2003to2013, to analyze the managing and operating status ofmaintenance funds with investment tools. It can be seen that if we only use the maintenancefunds to buy the government bonds or bank deposits, we can’t get any interest. It’s necessaryto broaden the investment channels to achieve a diversified portfolio of investments. Thispaper also uses Shenzhen’s maintenance funds data as examples, and analyzes themaintenance funds’ usage of various property units in different house-age, so as to finalize thehousing maintenance funds proportion in different age stages. All these analysis are used to bereference standards to minimum liquidity proportion retained which is in empirical analysis ofinvestment operations in the following text. Secondly, this paper simulates optimal assetallocation by the mean-variance model. It also studies the circumstance of increasing capitalmarket’s investment tools, such as stocks and corporate bonds, to analyze how much yieldimprovement can be obtained. All simulation results are used to estimate the likely increase inrevenue. These can also be used to estimate the loss of house owners in the present situationof limitation of investment channels. Finally, after a theoretical and empirical analysis of theforegoing, we can draw a conclusion that we should take some improvements for maintenancefunds, such as broaden investment channels, improve the capital market construction, andachieve specialized operations and so on, so as to achieve value maintenance and valueappreciation of the funds.