THE MINISTRY OF HUMAN RESOURCES AND SOCIAL SECURITY said on Tuesday it will initiate investing some of the national pension fund in the stock market. This concerns people's livelihoods and social stability, so the management of the important fund must be prudent and be aware of the risks, commented Beijing News on Wednesday.

How to maintain the value of the 4-trillion-yuan ($615 billion) pension fund, which concerns people's livelihoods and social stability, has been a challenge to the central government for a long time. The government's prudence over investing the fund is understandable.

In the first quarter of last year, Japan lost nearly $100 billion of its pension investment fund. If the Chinese fund enters the stock market, the authorities must try their best to maintain its value, which will be a harsh test of their governance ability.