| The Chinese government will reportedly centralise management of about 2 trillion RMB (US$322 billion) in local authority retirement assets under the supplementary pension supervisory body, the National Council for Social Security Fund (NSSF). Reuters cited industry sources as saying that China’s State Council would transfer local pension assets to the NSSF.
The move is part of a broader initiative to strengthen China’s pension system in order to meet demographic challenges posed by a shrinking working-age population. Under the current retirement system, 90% of local authority pension funds are placed in bank deposits with low single-digit returns. In comparison, the NSSF is allowed to invest up to 40% of its AUM into equities...............................................Full Article: Source
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