The U.K. pension panic showed the strength of the Australian market

The Australian market of securities obtained support due to the September pension shocks in the UK. Their liquidity is strongly highlighted on the background of a stress wave of sell-offs.

According to Neil Calder, head of portfolio management division at the European Bank for Reconstruction and Development (EBRD), said that Australian assets are affected by the extraordinary sell-off because fund managers from the U.K. collected cash to meet margin calls in a very short period of time.

The estimated amount of money from completed transactions in South Pacific state securities totaled about $1.5 billion. Calder stated that the timing of closing deals shows a high level of liquidity and provision in this sector, much higher than expected.

Calder noted that the sell-off in the Australian markets showed "proven case study of liquidity and the depth of liquidity". Currently, the EBRD's benchmark debt issuance is about A$650 million ($435 million). Discussing the possibility of lowering it and participating in it is Calder's main expectation.