Research On The Management Of Overseas Investment Of National Social Security Fund

The national social security fund(hereafter called NSSF)is the important strategic reserve fund in China,specifically for the supplement and swap of social-security(endowment insurance,social relief,etc)expenditure during the peak period of an aging population.In recent years,NSSF has achieved good results on domestic investment but has been poor performance in overseas.This paper started with the current situation of overseas investment of NSSF.It made a detailed analysis for the target principle,operation mode,asset allocation and other aspects,especially making a more systematic measurement analysis for the investment risk.The results showed that the main problems of NSSF in the process of overseas investment existed as follows: The indirect investment costs too high and the principal-agent system is not sound.The administrative means are overly dependent on and laws are seriously lagged behind.The efficiency of social supervision is not high and the system of information disclosure is imperfect.The strict restrictions on quantity coexist with loose parallel regulation.The capital source of NSSF is not enough and the investment channels are narrow.The asset area were concentrated distribution and the investment strategy remains to be perfect.In view of the above problems,by drawing lessons from the experience of overseas countries and combining with the actual situation of China,the recommendations are as follows: The cost of indirect investment needs to be controlled and the principal-agent system needs to be improved.The laws of overseas investment need to be perfect and the quality of information services and the efficiency of social supervision should be enhanced.The regulatory authority needs to be coordinated and the limit of quantity needs to be modified appropriately.The asset allocation should be made decisions scientifically and the scope of investment should be adjusted flexi by.The financing channels of NSSF need to be broaden and the exchange risk should be prevent effectively.