A Research On Value Maintenance And Appreciation Of Acic Endowment Fund Under The Reform Of The Dual System

After sixty years’development,China’s endowment system has formed the mode of partial accumulation system.The exploration of reform that transfer the accounting on cash to the cumulative system,causing "implicit debt" and "explicit debt" of pension because of phenomenon that transfer funds from personal pension account to public pension account,which causes great pressure on pension payment besides the social background of aging surge.In addition,China’s basic endowment funds has the management problem of low level of overall planning,lack of supervision system,unspecific legal system,chaos principal-agent relationship system, which weaken the total amount of investment funds of basic endowment funds.The reform of the endowment’s dual system has always been an important part of the endowment system’s reform.In March,National People’s Congress and Chinese people’s formal consultative conference, put the reform of endowment’s dual system on agenda. The reform of endowment’s dual system operate difficultly,but which is the inevitable trend of our country’s endowment system emphasizing fairness for citizens. China’s pension funds accumulation increases year by year,which has reaches31000billion yuan by this year. The basic endowment funds’investment income is unoptimistic by the restrict investment channel. The amount of basic endowment funds and the pressure of payment will be larger and larger with unifying urban and rural residents’ endowment system and the development of the reform of endowment’s dual system.The basic endowment funds will face the risk of devaluation with the present mode of investment operation,which will be a great crisis to the citizens of our country.So our coutry should make the research on investment operation and value maintenance and appreciation of bacic endowment fund into the top level design of the endowment system.Pressure on China’s value maintenance and appreciation of bacic endowment fund is mainly caused by the narrow investment channel and low retum,in addition to those lack of management mechanism.China’s basic endowment fund faces the risk of devaluation due to the limited investment channels which needs to be expanded.That means increasing investment tools to construct into portfolio to realize the diversification of investment.It needs to determine the best ratio of each kind of investment tools in portfolio as to realize return of the investment of basic endowment fund by increasing investment tools in the context of risk control to realize the value maintenance and appreciation of bacic endowment fund to fight against the negative effects of inflation.After measuring diversification of investment portfolio asset allocation of basic endowment funds with the application of Rkowitz’s theory of mean-variance model,we know that in the context of risk control,which means control the proportion of each kind of investment tool, the investment in the stock market and bond market can significantly increase the rate of return. Therefore, expanding basic endowment funds’investment channels can improve the rate of return significantly,which can realize realize the value maintenance and appreciation of bacic endowment fund to fight against the negative effects of inflation.The successful precedent of diversification of investment made by social security investment, proves that our capital market has the good conditions to realize the diversification of investment of basic endowment funds to create excess earnings.In addition, the successful experience of diversification of investment the diversification of investment of pension fund made by abroad countries, such as America’s "401K" program, Chile’s minimum guarantee of return and Singapore’s classification of investment.They also make good reference to China’s operation of basic endowment funds’investment.The diversification of investment of basic endowment funds is the route one must take for value maintenance and appreciation of bacic endowment fund,which needs China to make an system to balance the different intersts of groups into the top level design of the endowment system,and needs the national policy support in practice. In the management of funds,first of all,our government should gradually realizes the state’s overall of basic endowment fund, to implement fund’s central management and operation, at the same time,fulls individual accounts fund.Then we can expand the foundation base of funds from those two aspects so as to achieve greater benefits. Secondly,government should establishes effective supervision system, and determines an independent main spervion which has definite responsibility,to realize an entire supervise system of investment operation from early stage, middle stage,and late stage.In the operation of fund’s investment, China should realize the diversifised investment of basic endowment funds, in the premise of a mature capital market and risk control,to invest fund with a variety of investment tools.We can also learn from the successful experience of foreign countries’operation of diversified investment of oension,such as adopting different ways of investment types according to different groups, and establishing specialized investment’s management institutions to operate the management and investment of basic endowment funds.China should establish and improve laws and regulations to give the investment of basic endowment fund the guarantee of safety.