Chanticleer
Super funds want liquidity buffer
Industry super funds are worried the temporary withdrawal of super will cause liquidity problems, piling further downward pressure on the sharemarket.
Leading industry superannuation funds are urging Treasurer Josh Frydenberg to authorise the government or Reserve Bank of Australia to underwrite the liquidity needed to meet an estimated $27 billion in super savings withdrawals.
Several industry funds have told prudential and securities regulators the government has severely underestimated the amount of money that will be withdrawn by Australians thrown out of work because of the coronavirus crisis.
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