We primarily discussed the application of Markowitz mean-variance (MV) model on asset allocation of postal saving fund in Taiwan, and applied the utility function to find the optimal asset allocation. First, two MV models were proposed: one with domestic markets only, and the other including international markets, and their efficient frontiers were obtained and compared. The results show that the postal saving fund is encouraged to invest on international markets. Moreover, the specific utility function was applied to tradeoff the expected return rate (mean) with risk (variance) so that an optimal asset allocation can be obtained easily.