By Tian Hui, Research Institute of Finance, DRC

Research Report, No.163, 2020 (Total 5907) 2020-6-30

Abstract: Globally speaking, the construction of public pension fund governance is not only an important issue but also a thorny one. Compared with other institutions, the governance of public pension fund boasts certain specialties. For example, it lays particular emphasis on the prevention of political risks in the fund management as well as on the professionalism and eligibility of fund management institutions. In light of the international practice, public pension fund is facing more governance difficulties in recent years which include: one, the contradictions between the increasing dependency on investment revenue and the difficulties of investment are becoming tangible; two, the international spillover effect in investment decision-making is mounting; three, the overwhelming political factors in the management of America’s public pension fund investment are gaining momentum. In China, the construction of current public pension fund governance system has not aroused adequate attention. And due to the importance of this issue and in light of the international experience, we need to push ahead with domestic reforms and take an active approach toward the cooperation with foreign peers so as to positively respond to global impacts.

Keywords: public pension fund, governance, the U.S.