Personal pension system speeds up the implementation, manages and makes good use of pension money bags.
A few days ago, the "third pillar" of China’s old-age insurance system ushered in institutional arrangements — — Personal pension system. According to the Opinions on Promoting the Development of Individual Pensions issued by the General Office of the State Council, it is necessary to promote the development of individual pensions that are suitable for China’s national conditions, supported by government policies, voluntarily participated by individuals, and are market-oriented, and are connected with basic old-age insurance and enterprise (occupational) annuities. Recently, the reporter was informed that the relevant supporting systems for the personal pension system are being formulated in full swing.
In addition to personal pension, another important component of the "third pillar", "other personal commercial pension financial business", has also achieved rapid development in recent years, with increasingly rich product categories. Under the increasingly severe situation of China’s aging population, it has become a consensus to improve the awareness of self-protection, plan the old-age life as early as possible and reasonably reserve pension funds. Many people in the industry suggested that three pillars should be planned according to personal financial situation, namely, basic old-age insurance, enterprise (occupational) annuity and commercial old-age finance; For the latter, it is necessary to rationally allocate savings, wealth management products and insurance products according to personal risk preferences to effectively spread risks.
Voluntary participation in personal pension
For many young people who are used to overdraft consumption, the key to reserve pension funds is to firmly export funds, avoid "moonlight" or even eat food, and let funds steadily precipitate and increase in value. The personal pension system being piloted in China can effectively avoid the problem of early withdrawal.
A few days ago, the General Office of the State Council issued the Opinions on Promoting the Development of Personal Pension, and the personal pension system was officially promulgated, which is of great significance for building a multi-level and multi-pillar pension insurance system in China. As we all know, China’s old-age insurance system contains "three pillars". The first pillar is the basic old-age insurance, which is relatively perfect at present and its coverage is constantly expanding; The second pillar is enterprise annuity and occupational annuity, which mainly play a supplementary role and are established by employers and their employees, and have a good development foundation; The third pillar is a little "insufficient", which lacks corresponding institutional arrangements, mainly including personal savings pension insurance and commercial pension insurance.
"Personal pension is a national institutional arrangement for the third pillar, which is conducive to adding an accumulation on the basis of basic old-age insurance, enterprise annuity and occupational annuity." Jong Li, Vice Minister of Ministry of Human Resources and Social Security, said that after retirement, he can earn another income, further improve the living standard after retirement, and make the life of the elderly more secure and quality.
How to participate? If you have already participated in the basic old-age insurance, you can choose to participate in the personal pension. The system adheres to the principle of voluntariness and is not mandatory. After that, individuals need to open two accounts: personal pension account and personal pension fund account. The former is used for information recording, inquiry and service, and the latter is used for payment, product purchase and income collection. "These two accounts are unique to each other. Participants can open them in various channels such as the national social insurance public service platform, the national people’s social government service platform, the electronic social security card, and commercial banks." Nie Mingxi, director of the Pension Insurance Department of the Ministry of Human Resources and Social Security, said that the above two accounts can be opened at one time through commercial bank channels.
How to invest? Individual pensions are paid by individuals, and participants can decide to participate in the whole process or part of the year. The upper limit of annual payment in the initial stage is 12,000 yuan, and participants can decide how much to pay. "Next, with the increase of per capita disposable income in urban and rural areas, the payment ceiling will be gradually increased in due course." Nie Mingxi said. After payment, the individual pension will be operated in a market-oriented way. Participants will independently purchase bank wealth management, savings deposits, commercial pension insurance, Public Offering of Fund, etc., and they can also make long-term, medium-term and short-term combinations. All the above operations are completed in the capital account, and there is no need to run multiple financial institutions. "From the mature experience abroad, participants can participate in the capital market and share the development dividend of the real economy through personal pensions." Lin Xiaozheng, head of the securities fund supervision department of China Securities Regulatory Commission, said.
How to collect it? Avoiding early withdrawal is a remarkable feature of personal pension, which is helpful to rationally plan personal pension reserves and effectively play a supplementary role in providing for the elderly. Specifically, the account funds are closed, and they can only enter and leave during the payment stage. Payment and investment income are accumulated in the account, and they can only be collected when they reach the corresponding age conditions.
Rational purchase of pension financing
In addition to personal pension, commercial pension finance represented by pension financing and exclusive commercial pension insurance is also an important part of the "third pillar" and has achieved rapid development in recent years.
Among them, pension financing has been enthusiastically subscribed by investors. The reporter learned from the Banking Financial Registration and Custody Center that by the end of the first quarter of 2022, four pilot institutions had sold 16 pension financial products, and more than 165,000 investors had subscribed for about 42 billion yuan. The amount raised far exceeded expectations, and some products were "in short supply". Many products in the first batch have raised the planned fundraising scale several times. In addition, on June 20th, two new pension financing products were officially closed. Up to now, the number of pension financing products has been expanded to 24.
There are not a few middle-aged people who favor old-age financial management. According to the data of the Banking Financial Registration and Custody Center, investors aged 40 to 50 account for 27%, and investors aged 30 to 40 account for nearly 20%, accounting for about 47% in total, accounting for nearly half of the total investors; Investors aged 50 to 60 accounted for the highest proportion, reaching 28%. "This reflects the extensiveness and urgency of investors’ demand for pension financing, and also shows that the market space for pension wealth is broad." Wang Hailu, chairman of ICBC Financial Management, said.
It is worth noting that due to the long term of pension financing, investors need to rationally measure the medium and long-term benefits, and should not regard pension financing as a channel for "making quick money". Judging from the pilot situation, the term of the first batch of closed-end products for pension financing is five years, and some products have specially set dividend clauses, which can meet some liquidity needs of investors during the holding period.
"Pension financing aims to guide investors to form a healthy and sustainable concept of pension financing, make scientific and reasonable planning for pension, and convert long-term funds in their hands into pension financial products according to their own reality." Dong Ximiao, chief researcher of Zhaolian Finance, said.
To this end, investors should focus on three factors when purchasing pension financing. First, consider your own pension needs and judge whether you need to make long-term pension investment; Second, consider your own capital situation and choose the investment method that suits you; Third, pay attention to the risk-return characteristics of pension financial products in combination with their own risk preferences, and choose pension financial products with matching risks.
Pension savings business will be launched.
Due to the diversification of the demand for pension reserves, correspondingly, the risk preferences covered by financial products should also be diversified, and not all of them should be concentrated on medium and high risk preferences. "China is a big savings country with a high savings rate. It should conform to the public’s savings habits, further enrich the supply of pension financial products, and form a supplement with pension financial products." Dong Ximiao said.
The reporter visited a number of bank outlets in Beijing and found that investors still have high demand for deposits, a low-risk product. Take the certificate of deposit as an example. Although its annual interest rate continues to fall, and the one-year interest rate is only 2.1%, it is not easy for investors to successfully buy it. As of June 20th, China Industrial and Commercial Bank showed that three of the four 3-year certificates of deposit on sale had been sold out, and the other one was only for new customers.
The launch of the "specific pension savings business pilot" is precisely to meet the pension financial needs of low-risk preference groups. "We are speeding up the research on the pilot of specific old-age savings business, and initially consider four large state-owned banks of industry, agriculture, China and construction to carry out pilot projects in some cities." The head of the large-scale banking department in China Banking and Insurance Regulatory Commission, China, revealed at the news briefing held a few days ago that this business takes into account both inclusiveness and pension, with long product term, stable income and guaranteed principal and interest, which can meet the pension needs of residents with low risk preference. Specifically, specific old-age savings products include lump-sum deposit and withdrawal, lump-sum deposit and withdrawal and lump-sum deposit and withdrawal. The product term is divided into four grades: 5 years, 10 years, 15 years and 20 years. Initially, the pilot scale of a single bank is 10 billion yuan, and the pilot period is tentatively set at one year.
It can be expected that the future pension financial business will gradually form a development pattern of multi-subject participation, multi-product supply and meeting diversified needs. Recently, China Banking and Insurance Regulatory Commission of China clearly stated in the Notice on Standardizing and Promoting the Development of Commercial Pension Financial Services that next, it will support and encourage banks and insurance institutions to develop commercial pension savings, commercial pension financing, commercial pension insurance, commercial pension and other pension financial services in accordance with the law. "But there is a bottom line. The commercial pension financial business must reflect the pension attribute, and the product term conforms to the long-term pension needs and life cycle characteristics of investors. At the same time, it is necessary to set corresponding binding requirements for fund collection to avoid short-term ‘ Fast forward and fast out ’ 。” The above-mentioned person in charge of China Banking and Insurance Regulatory Commission also said. (Economic Daily reporter Zi-yuan Guo)