A Study On The Impact Of Endowment Insurance On The Risky Financial Asset Allocation In China's Urban Family

Recently,Chinese financial asset allocation shows a phenomenon of single structure and lack of risky assets due to the restrictions of economic and market development and other factors.This phenomenon restricts the increasing of household wealth.So how to effectively change the risk of investment in stocks and other risky assets become the urgent problem to be solved.While the endowment is related to the income and elderly life,also shows relation with the consumption in theory.Based on this,this paper presents such a hypothesis: If we regard the risky asset allocation as a financial consumption,whether the endowment will have an impact on the family's financial asset allocation.Deeply studying the endowment shows a great significance to the risky financial asset allocation in China.First of all,based on lacking of risky asserts,we raised a question--what factors affect family risky financial assert allocation.This paper summarized the literature on influencing family assets.We combing the literature and summarizes the theories related to endowment insurance and family financial assets from absolute income theory,life cycle theory and reasonable expectation theory,identify the theoretical basis of the relevant research object and discusses the mechanism of action between them.And analyzes the general characteristics of financial assets of urban residents in China.combined with the endowment insurance to further analyze the characteristics of risky financial assets,providing a realistic basis for empirical analysis.What's more,analyzing the way of endowment insurance in the process of family asset allocation.We combined with macro and micro survey data in order to know China's status quo of endowment insurance and family financial asset and which provides a realistic basis for empirical analysis,using data of 2014 China Family Panel Studies(CFPS)as basic,Using the effective P robit and Tobit econometric model to explore whether the family has the endowment insurance as the object of study to explore its impact on the family risky financial asset allocation.The study found that endowment insurance would significantly increase the likelihood of holding risky financial assets and show more powerful in the sample of government and business units than those of enterprises and individual businesses.There are also differences in the role of different region.Secondly,endowment insurance will raise the proportion of risky financial assets that occupied total household family assets.The result also shows that different working samples show that the endowment insurance in government and businessunits will increase the proportion of household risky financial assets.At the same time,endowment insurance is more active in the eastern than elsewhere.Thirdly,the effect of age,education,income and other factors show effect on family risky asset allocation.The result are still robust after controlling for social security and other social security.It shows that the participation of endowment insurance in the family risky financial assets and the proportion of the risky financial assets are positively encouraging.In view of the empirical results,this solution gives some policy recommendations: Perfecting the income growth mechanism,raising family wealth,improving the endowment system and creating better investment condition,standardizing the development of financial market,deeping the revolution of financial market.