The second lever for investment is regulatory in nature. Many large scale investments that only pay off over the long term for example, in energy, digital infrastructure, and transport are concentrated in state regulated sectors, giving governments the power to influence business decisions.

(b) In order to establish accountability, the Investment Management Service should either (i) ensure that the fixed income investment officer acts with greater independence in the management of the portfolio or (ii) consider outsourcing the fixed income portfolio while maintaining the investment officer to monitor the performance of the outsourced portfolio (AS2003 801 02 011)

Geneva Office

Investment Section

The assets custodian organs shall perform duties of safeguarding the customer s trust assets, handling the collection and payment of the funds and supervising the investment activities of the securities firm according to the provisions of the securities regulatory agency under the State Council and the securities assets management contract.

Investment Management Service 0.33

Assistance is required to support national investment related institutions and policy advice to create regulatory frameworks conducive to attracting FDI.

Portfolio management

A. Management of the investments . 48 78 14

1. Investment management . 23 31 105

The investment officer will conduct research to recommend appropriate alternative asset classes for the Fund, plan appropriate investment deployment, initiate and lead the selection of external alternative managers, and monitor and evaluate those managers in order to ensure that the alternative investments add value to the Fund's overall investments in terms of both return enhancement and diversification.

As for an overseas investment, an enterprise shall conclude a contract thereon in written form so as to clarify the rights and interests it may enjoy from this investment and to carry out financial supervision.

(c) Promote public investments in their territories and supervise their proper implementation

(a) The increasing complexity of the market and operational environment has made it imperative for investment management organizations to build a strong compliance monitoring capability

Audit of the Investment Management Service investment performance measurement system

After this crisis, it became clear that this incentive was both toxic and precarious. The CSRC, as China s capital market regulator, together with other regulators, neglected to fulfill their proper mission to create a robust institutional framework capable of sustaining strong investment.

For example, the Office of Internal Oversight Services suggested that the Investment Management Service review in detail the operational steps related to real estate investments, which will require the opinion of specialists.

Article 47 If a securities firm is engaged in collective investment by using assets of multiple customers or specially invests customer s assets into particular target products, it should comply with related prescription of the securities regulatory agency under the State Council and report to the securities regulatory agency under the State Council for approval.

The indirect negative effects of such regulations on long term investment are, by nature, more difficult to discern, but they can be just as harmful as the direct effects especially if they leave investors with fewer funds available for long term investment. Margin requirements for derivatives transactions have this effect, as do regulations that increase banking costs.

The Chief of the Risk and Compliance Section will develop a comprehensive risk monitoring mechanism for the investments of the Fund, apply and oversee the process, develop a methodology for a risk and performance analysis appropriate for the investments of the Fund and oversee the reporting.

Although one new post of Investment Officer has been recommended by the Office of Internal Oversight Services for real estate investments, it has been decided that it would be more beneficial to the management of the Fund to redeploy the current investment officer posts by expanding the responsibilities of each.

Institutional challenges such as capital controls, regulatory burden, problems in accessing foreign exchange and the lack of institutional infrastructure for OFDI support services are factors that have restricted developing country firms' internationalization.

Custody of investments

The specific functions listed for the investor country participants included management and administration of the AIJ, financing of the monitoring costs, scientific monitoring, project management transfer of know how, and technical support.

(f) Compliance processes are needed for monitoring the adherence of advisers and service providers to the standards of the Investment Management Service

Utilization of different investment channels

The barriers they face include the lack of investment and technology promotion policies, inappropriate legal and regulatory frameworks, inadequate capabilities for investment promotion and technology support institutions as well as the lack of access to potential investors and sources of new technology.

The Compliance Officer will establish the policies of the Investment Management Service in regard to standards of ethical behaviour, review the Service's procedures to ensure their adequacy and effectiveness and monitor the adherence of sub advisers and service providers to the standards of the Service.

v.The held to maturity investment is sold due to the regulatory department s demands for significantly enhancing the fluidity of assets or significantly enhancing the risk weight of the held to maturity investment in the calculation of capital adequacy ratio

Some of them are just countries who believe that deregulation or no regulation is the best way to attract investment, promote trade.

If a securities firm is engaged in securities assets management business, it should sign securities assets management contract with customers, defining investment scope, investment ratio, management period, management cost and so on.

For example, standardizing regulations relating to covered bonds, green bonds, and cross border investment through real estate trusts could encourage more long term investment. In a more indirect way, a general regulatory push that increased the availability of projects suitable for long term investment and harmonized local insolvency regimes could also have a positive effect.

Table 25 History of the Investment Management Service

(b) Develop, administer and maintain system interface with investment advisers, custodians, bankers and all related financial institutions, and maintain the infrastructure and portfolio management and operational systems of the Investment Management Service

Insecuritization

(b) Monitoring and management of Earth resources

Notwithstanding the growth in the Fund s assets and a complex investment environment, there had been significant improvements in the efficiency and cost effectiveness of investment management.

When investment banking markets were booming and the private sector easily recruited up top talent regulators and supervisors found it difficult to get the budgets to keep up with innovation and police the markets. In the future, governments will have to commit the necessary resources to ensure more robust oversight of risk management in financial institutions.

To carry out the mission and achieve the Fund's goals and objectives, the Investment Section of the Investment Management Service actively manages portfolios of equity, fixed income, real estate and short term investments, constantly analysing capital markets and investment opportunities.

The investment process is supervised and approved by the Treasurer.

3. The Investment Management Service has two in house systems (a) a Portfolio Management System, which was installed in 1993 and (b) the Investment Control and Accounting System, which provides automated accounting for the transaction activities of the investments of the Pension Fund.

The environment investing in better resource management

Manage your finances, accounts, and investments

Total administrative, investment and audit costs

Article 56 In case an enterprise is operated through custody, it shall be determined by the investors and an agreement concerning custody shall be concluded to clarify the asset liability status involved in the custody, the objectives of custody, power limits in handling the custodian assets and measures for income distribution and so on, and shall determine and fulfill the measures for financial supervision.