Abstract:The direction of reform in investment of the basic pension fund is closely related with the patterns of govern-
mental supervision over it. The traditional positive list mode lacks flexibility and this has greatly limited the fund’s mainte- nance and appreciation of its value. Under the background of streamlining administration and delegating power to the lower lev- els, the negative list mode follows the legal logic of“liberty without prohibition by law” and is consistent with the conception of overall deepening of reform. It is helpful to release the creativity of market subjects and break the system barriers restraining the maintenance and appreciation of value of basic pension. Through clarification of right border between government and fund investment field, the running system of the negative list mode and the relevant risk-coping mechanism can be perfected and the reform in the basic pension fund investment is feasible with the negative list mode as the breakthrough.