Social security funds are not open to individual investors. Social security fund is a part of the endowment insurance premium paid by the state to enterprises and institutions managed by professional institutions in order to maintain and increase the value.
In our country, there is another institution called the Social Security Fund Council, which can be said to exist only in our country. It is a fund formed by the annual financial allocation and the money after the realization of state-owned assets. Mainly used for investment, preservation and appreciation, in order to cope with the pressure of social insurance payment at the peak of aging several years later.
Further reading
Basic principles of the national social security fund
The basic principle of social security fund investment operation is to realize the appreciation of fund assets on the premise of ensuring the security and liquidity of fund assets.
The state stipulates that social security funds can enter the stock market, of course, not all, and there are proportional restrictions. The main purpose is to maintain and increase the value of social security funds and ensure the interests of the people.
The Ministry of Finance and the Ministry of Labor and Social Security shall formulate relevant policies on the management and operation of social security funds and supervise the investment, operation and custody of social security funds.
China Securities Regulatory Commission (hereinafter referred to as China Securities Regulatory Commission) and the People's Bank of China shall, according to their respective functions and powers, supervise the business activities of investment managers and custodians of social security funds.
Specific operation of social security fund: the investment scope of social security fund directly operated by the National Social Security Fund Council is limited to bank deposits and the purchase of government bonds in the primary market. Other investments that need to be managed and operated by the social security fund investment manager and entrusted to the social security fund custodian.
The investment scope of social security funds includes bank deposits, treasury bonds, securities investment funds, stocks, corporate bonds and financial bonds with credit rating above investment grade, in which the investment ratio of bank deposits and treasury bonds is not less than 50%, corporate bonds and financial bonds is not higher than 10%, and the investment ratio of securities investment funds and stocks is not higher than 40%.
The investment of social security fund assets managed by a single investment manager in securities issued by an enterprise or a single securities investment fund shall not exceed 5% of the securities issued by the enterprise or the share of the fund; According to the cost, it shall not exceed 10% of the total assets of the social security fund it manages. The assets entrusted to a single social security fund investment manager shall not exceed 20% of the total assets entrusted by the annual social security fund.