The social security you pay is not even considered a social security fund?

Mondo Social Updated on 2024-01-28

On December 6, 2023, the Ministry of Finance issued the investment management measures on social security** and solicited opinions from the whole society.

No, the social security ** mentioned here and the social security you said are two different things.

Social security usually refers to social security, and the social security you say is social insuranceDon't confuse the two. ‍‍

Otherwise, let's talk about each one briefly.

1. Social insurance**.

Social insurance** is a special fund established by the state to ensure the social insurance benefits of the insured objects to ensure reliable financial protection.

The "five insurances" mentioned here belong to social insurance**, which are paid by employers and individuals according to a certain proportion. ‍‍

Social insurance** provides protection for the insured in terms of pension, unemployment, work-related injury, medical care, maternity and other aspects, when the insured person is temporarily or permanently incapacitated or has the opportunity to work, he or she is entitled to the insurance benefits and benefits provided by him/her.

Social insurance** is administered by the Social Security Bureau under the Ministry of Human Resources and Social Security.

2. Social security**.

Social security** is a strategic reserve specially established by the state to cope with the tide of aging, the pressure of social insurance payments, the reform of the retirement system, etc., which may lead to a significant increase in the pressure on national security**.

It can be seen that social security is intended to be a supplement and adjustment to social security expenditures such as population aging and pension insurance in the future, and to cope with various gaps that may arise in the future.

Social security should take advantage of the current and future period of time, the problem of aging is not very serious, expand the scale, to ensure the stable operation of the social security system.

Social Security is managed and operated by the Social Security Council. This council was established in 2002 and is referred to as the Social Security Council.

Obviously, whether it is social insurance or social security, money is needed, so where does the money come from?

There is a difference in funding** between the two.

But money can't always be in a box, and if you want to do it on a large scale, you need to make a reasonable investment.

Social security can be directly operated and invested by the social security committee, but there are requirements for investment products, which are limited to bank deposits, interbank certificates of deposit, equity investment**, preferred shares, etc. ‍‍

However, direct investment by yourself is not professional after all, and the social security association can also entrust a professional institution to invest. The investment scope of entrusted investment will be broader, which can include domestic and foreign **, bonds, ** and derivatives. ‍‍

Of course, not everyone can serve as an investment manager, and there will be a certain threshold, for example, the investment manager is required to have a paid-in capital of no less than 100 million yuan, investment experience of no less than 5 years, and so on.

However, whether it is direct investment or entrusted investment, there is a proportion requirement for investing in different assets, and it is important for these funds to be safe and sound.

Compared with social security**, the investment style of social insurance** will be more conservative.

No, social security will be able to accept the entrustment of social insurance**.

This time, the measures for the management of domestic investment in social security have begun to solicit opinions, and the investment in social security has been clarified and adjusted.

3. Measures for the management of investment in social security.

Let's pick and choose the key points.

1.Investment Scope.

The measures specify that 11 types of products and instruments can be invested in.

After the adjustment, social security** can invest in more credit bonds, and can use hedging tools such as ** and options.

2.Investment ratio.

A certain percentage of the assets invested in social security** needs to be met.

Compared with the original requirements, the management measures have further improved investment flexibility and supported the development of the capital market. ‍‍

The lower limit of the investment ratio of low-risk interest rate assets such as deposits and treasury bonds has been reduced from 50% to 40%, which is conducive to social security** to participate in more slightly high-risk investments. ‍‍

3.Reduced management fees.

Social security** will entrust the investment manager to invest, and it is also necessary to pay a management fee. The new management measures have moderately lowered the upper limit of management fees. ‍‍

In short, the new management measures are to improve the social security value preservation and appreciation and safety supervision system, and adapt to the needs of financial market development and investment management.

Finally, let's summarize the main content of today. ‍‍

Okay, that's it. ‍‍

You know what?‍

The Community Chest of the lottery will also be transferred to Social Security**. ‍‍

The so-called lottery public welfare fund is in accordance with the prescribed proportion from the lottery sales extracted, specifically for social welfare, sports and other social welfare funds. ‍‍

If you win a prize but don't claim it after the deadline, the prize money will also be added to the Lottery Community Chest.

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