Research On The Allocation Of Risky Financial Assets Based On The Structrue Of Family

The number of Chinese residents in the middle class is increasing and the quality of life is improving with the steady and positive development of the community,More and more households are concerned about making profitable investment decisions in increasingly dynamic financial markets.Against the background of an aging population and the introduction of fertility policies,the number of children and the number of elderly people per family has increased.It can be seen that the structure of family members in my country is gradually changing.In recent years,research on family finance has been in the ascendant.From the perspective of family member structure,this paper emphatically uses the number of children,the number of the elderly and family scale as surrogate variables to measure the structure of family members to study the probability of their participation in risky financial assets and allocation ratios,make financial recommendations to households.The main content of this paper is the influence of family members on the distribution scale of household risky financial assets such as stocks.The theoretical basis used are modern asset portfolio theory,life cycle theory,precautionary saving hypothesis and liquidity precedence hypothesis.Under the support of induction and four theoretical basis,this paper puts forward three theoretical hypotheses,using the data of China Household Finance Survey 2019(CHFS)(hereinafter referred to as "CHFS2019")to examine the structure of family members,that is,the proportion of children,The influence of the three explanatory variables of the number of the elderly and family size on the participation and distribution of household risky financial assets secondly,the heterogeneity of individual characteristics is introduced to explore whether there will be differences in the choice of family risky financial assets;The results are reliable,and many different types of methods are used in this paper for robustness testing.The final conclusions of the article researching on family finances are as follows: First,the increase in the number of family members weakens the family's mechanism of sharing risks and sharing income,and for this reason,family decisionmakers will reduce the purchase of risky financial assets.Second,the proportion of children has increased.Since parents want to provide their children with a good educational environment and quality of life,they will pay more attention to the health and stability of the family's future cash flow,so they will reduce the distribution ratio of household risky financial assets in investment decisions;Third,as the proportion of the elderly increases,families will take on greater pension risks,increase the savings of pension funds to combat risks,or purchase some pension wealth management products to face uncertainty.Combined with the empirical results of this paper,three suggestions are put forward: first,strengthen the concept of financial management,and expand the education and popularization of financial knowledge;second,increase the application scope of targeted financial products and improve their degree of innovation;third,further improve the social security system and reduce the burden of family care and old-age care.