• IE interfaces
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• v.24 no.1
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• pp.24-39
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• 2011

In this paper, we study the methodology for the measurement and integration of market risk and credit risk using Copula. We apply the methodology of Rosenberg, and Schuermann(2006) to the assets of pension system. Firstly we estimate dynamics of risk factors and their effects on investment returns, then use the estimated result to simulate future movement of risk factors and distribution of investment returns. Finally we measure integrated risk using integrated return distribution by Copula and simulated future investment return distributions. We found the integrated risk changing with the correlation of risks and investment weights of risks and confirmed the diversification effect of risks. This result is consistent when we use normal Copula and normal marginals, t-Copula and t(3) marginals, and normal Copula and non-parametric marginals. And in the case of non-parametric maginals, larger integrated risk is calculated. It means that use of non-parametric marginals is more conservative.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.7
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• pp.531-541
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• 2020

The purpose of the study is a theoretical and practical justification for building a mechanism for financing health facilities based on public-private partnerships from a pension fund in regions with environmental problems. The theoretical background is built on works of local and foreign authors on state and non-state pension provisions issues, pension funds' assets management. This study provides an analysis of the health status of the population of the Kyzylorda region; it analyzes also the worldwide and Kazakhstan practice of investing pension funds and implementing projects. There has been legislative and methodological framework for financing health projects based on public-private partnerships in Kazakhstan. The scientific methods considered in this study made it possible to develop a mechanism for financial support for the modernization of a healthcare facility using the budget of pension funds. The authors point out possible risks in the implementation of projects in the field of healthcare and make recommendations on the construction a mechanism for financing healthcare facilities in the regions of Kazakhstan with environmental problems. In addition, they underline the key insights of the analysis, which are requisites for identifying the profitability of project for business and social effects for the public. Factors influencing efficacy, effect and implementation risks identified.

• Korean Journal of Social Welfare
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• v.35
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• pp.345-374
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• 1998

The purpose of this study is to contribute the improvement of national welfare by presenting of pension welfare business of Korea and Japan. The reason why I take the management of Japan's pension accumulation as the object of comparative study is that the history of pension system of Japan is relatively longer than that of Korea. First of all, National Pension Fund comes into use for public sector, financial sector, and welfare sector, The scale of pension management for welfare sector is 50 small. Therefore, the study for welfare business investment reflecting the intentions of pension entries and pensioners is needs of times. This study defines the concept of welfare investment business and prospects welfare investment business of the future on the basis of Japanese experiences, and then suggests the direction of efficient propulsion of welfare investment business to the reasonable decision-makers. Especially this study redefine the concept of welfare investment business on the basis of pension entry's social benefits which are composed of pension entry's gains and pensioner's gain. Of course, welfare investment business has to be presupposed the stability of pension system and the continuous contribution to national economy. Thus, in order to efficiently perform welfare business, the policy-making for national welfare improvement has to be established after the good of business is set up like the results of this study.

• The Korean Journal of Applied Statistics
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• v.28 no.4
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• pp.643-661
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• 2015

Korea Teachers Pension (private school pension) is a mandatory pension and a social security system for private school teachers to ensure the stability of subscribers by a supplying pension when they (and their dependents) face future economic risk due to retirement or death. Therefore, the Teachers Pension must provide stability and sustainability in regards to adequacy of income and to function as a pension. However, the Government Employees Pension System (GEPS) of Korea (the most representative special occupation pension) recorded a fiscal deficit in 2001 and with an accumulated deficit that is expected to grow; subsequently, various plans for the reform of GEPS have been actively discussed. The Korea Teachers Pension system is based on the GEPS scheme and is not free from the GEPS discussions on reforms of national pension. The current system for the Teachers Pension needs to be improved because it is expected to be depleted within the next 30 years due to low fertility and an aging population in Korea. This study discusses existing Teachers Pension schemes problems and suggests a projection method and revised plans to improve it. We use long-term financial projections of the Teachers Pension to estimate the fund exhaustion point and the minus balance of the financial scale as well as analyze the supply-demand burden structure that reflects the future population structure to propose Teachers Pension reforms that will improve stability and adequacy.

• Korean Journal of Social Welfare
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• v.50
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• pp.87-108
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• 2002

According to Neo-liberalism, the privatization of social security systems is pivotal for a country's economic growth and the wellbeing of its people, because such systems hinder the full operation of the market, eventually leading the national economy to collapse. The Chilean case of pension privatization is often cited as a good evidence for the Neo-liberal argument. Neo-liberalists say that Chile has experienced a rapid economic growth and retirees have enjoyed a much more pension payment since the national pension system was successfully privatized in 1981. The primary purpose of this article is to provide a critical review on the results of the Chilean pension privatization reform implemented in 1981. This study is intended to give an objective understanding of the reform because the existing evaluations, particularly those from the neo-liberalism, over-emphasize the bright sides of the reform. for this purpose, this article will pay a particular attention to the change in the level of pension payment after the reform. The conclusion of this study is that, contrary to the argument of Neo-liberalism, the pension reform has lowered the level of pension payment and, compared to the old public pension, has made the lives of ordinary retirees less secure. Reorganization of the social security system is more desirable than privatization as a remedy for the current problems of the welfare state.

• The Journal of the Convergence on Culture Technology
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• v.4 no.4
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• pp.201-206
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• 2018

The fourth fiscal estimate of the national pension following the aging of the population and falling yields estimated that the fund ran out in 2057, three years earlier than the third fiscal calculation. Accordingly, the government proposed a plan to immediately raise the insurance premium rate by 2 percent and maintain the income replacement rate by 45 percent, and to reduce the income replacement rate by 40 percent in 2028. In this form, increasing premiums and reducing income replacement rates will allow younger generations to sign up differently from existing subscribers, who previously had higher income replacement rates at lower rates. Therefore, the study aims to ease the burden on the elderly and younger by applying different insurance rates and income replacement rates for different ages.

• Korean Journal of Social Welfare
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• v.37
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• pp.89-118
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• 1999

The goal of this paper is to define the distinguishing characteristics of Korea's National Pension Scheme compared to the National Pension types of other countries and sees if those characteristics are significant enough in order to warrant calling these the "Korean Model". Also, another point to consider is, if this "Korean Model" does indeed exist, whether it is a 'sustainable' model or not. The National Pension Scheme, which was implemented in 1988, is similar to the public pension system formerly used in Japan. The National Pension Scheme broke away from this 'Japanese Model' in 1995 with implementation of the Farmers and Fishermen Pension, and the unique "Korean Model National Pension" was completed in 1998 with revision of the National Pension Law. The characteristics of the Korean National Pension can be defined as being balanced equally on ability and equality, possessing strong intergenerational income redistribution, having a nationally integrated structure, an incomplete funded method financial neutralism of the government and also as being a Monroe-oriented pension system. There are several limits to the sustainable development of this Korean Model National Pension, though. Even though the precondition of "the income determination problem of self-employed persons", which has strong intra-generational income redistribution. in actuality there are still many policy issues to be confronted such as the structure which 'transfers the burden to the future generation', the 'inter-generational inequity' of the incomplete funded system, persons excluded from coverage under the national integrated structure, 'compulsory loaning of the public sector by the National Pension Fund' under the government's principle of finance neutralism, the separate existence of the 'Monroe-oriented National Pension' from other pensions, etc.,. Therefore, it need to reform of NPS once again to sustainable development of KMNP.