The public pension fund reserve saw AUM top Rmb1 trillion after a local government mandate and healthy returns. If it continues to diversify, it's expected to raise mandated assets.
Party secretary Dai Xianglong expects China's National Social Security Fund to more than quadruple assets by 2020. The market is forecasting it will outsource more to foreign firms.
Handing 30-50% of Chinese listed state-owned entities' equity to the country's National Social Security Fund would be too aggressive a move, says consultancy Z-Ben Advisors.
Some of the region's biggest social-security and pension funds convened in Sydney this week to discuss topics such as overseas investing and annuity provision.
The chairman of China's National Council for Social Security Fund says the government's holdings in state-owned enterprises are too big, and he offers a solution.
Dai Xianglong tells a forum the social security fund will raise its private equity investment heavily over the next three years after PE accounted for 70% of its total return in 2011.
The social security fund selects eFront to provide automated support for its alternative investments, with its domestic PE portfolio tipped to become increasingly important in 2012.
The chairman of Stirling Finance, Stuart Leckie, says China’s social security ministry should offload some responsibilities, adding officials need more training.
China’s social security fund has reportedly issued eight onshore credit mandates. It may be hedging aggressive expansion, or it may preface renewed exposure to risk assets.