Methods Of Managing And Improving Investments In The Funding Pension System Of The Republic Of Kazakhstan

Abstract

The current changes and turmoil in the global market have a number of significant consequences for our country's economy. The pension system is one of the dynamically developing sectors of the socio-economic system of the republic. Despite this, the cumulative pension system, which has been in operation for more than nine years, has its problems. Therefore, support and development of the pension system is one of the priorities of Kazakhstan's economic policy. All types of changes are social and economic issues that require proper regulation by the state. The accumulative pension system obliges the citizens involved to be responsible for the level of their income after retirement, since the source of pension payments will be the funds accumulated in their personal pension account. The depositor can also demand that the fund transfer the income on the financial deposit to his personal account in an amount not lower than the average market rates. And if not, one should take an interest in the average market rates as calculated by the FDIC and the results of the selected fund. Another important reason for changing the system is that the number of working people in Kazakhstan is decreasing every year; in addition, the birth rate is expected to decrease from now on. This means that the number of people eligible to receive a pension will increase, and the number of workers who pay contributions for themselves will decrease. The Cooperation system cannot provide a continuous pension in such a case. For a pension fund to be effective, the number of contributors must be large. One of the main indicators that affect the financial condition and profitability of funds is the return on investment of pension assets and the maximum amount of commission contributions.