| With the acceleration of the aging population, the common pension, which is on the base of tax revenue and the pay-as-you-go system, has already been unable to satisfy the actual needs. The common pension plan has not only failed to guard aged population against poverty, but also brought about a very big financial burden to the economic growth of the whole country. As a result, the countries from all over the world tried to reform this pension welfare system formed after the eighties of the twentieth century. China started the reformation of the Basic Old Age Insurance in 1997 so as to build up a risk-pooling fund. The social pool part is on the pay-as-you-go system and takes short-term inner fund balance between income and expenditure as target, belonging to the defined contribution; the personal account part adopts complete fund accumulation system. The pension is paid according to personal account funds including the fee and the income of investment, belonging to defined benefits.Recently China has introduced the real individual account in the Basis Old Age Insurance. Under the system of independent accounts, the individual account fund is separated from social pool fund and confronts with strong pressure of maintaining and increasing its vale. So the full account funds have already become important parts of economic life, but also been closely related to the young capital market. Based on the portfolio theory and the capital asset pricing model, this paper focuses on the portfolio of the personal funds could devise after they entered the capital market. After quantitatively analyzing the income-risk in the bank deposits, the national debt and China's stock market, then we use them as means to construct different portfolios with the income-risk data. Through the resulting analysis, the conclusion it that the risk in china's stock market is considerably high, portfolio with lower ratio investment of stock can obtain the advantage of diversification. |
PDF Full Text Request