Top financial regulators have instructed super funds to ensure unlisted assets are properly valued as the sector braces for a rush of withdrawals under an emergency government scheme allowing early access to retirement savings.

In a joint letter to the trustees of the $3 trillion superannuation industry, the Australian Prudential Regulation Authority (APRA) and Australian Securities and Investments Commission (ASIC) called on executives and administrators to show “strong leadership” in making “difficult decisions” during the "unusual and challenging circumstances" of the coronavirus pandemic.

“The ongoing stability and proper functioning of the superannuation sector, which safeguards trillions of dollars on behalf of its members, is critical to the overall stability of the financial system and the economic prosperity of all Australians,” the letter signed by ASIC commissioner Danielle Press and APRA deputy chair Helen Rowell said.

APRA Deputy Chair Helen Rowell and ASIC Commissioner Danielle Press has put responsibility squarely on super fund trustees to monitor liquidity. Credit:Wayne Taylor

The regulators' main concern in recent weeks has been ensuring that funds are able to fulfil payment obligations as the super sector prepares to pay-out funds to potentially millions of Australians. Under an emergency federal government scheme adopted in response to the coronavirus pandemic, anyone who has lost their job or 20 per cent of their income will be able to withdraw up to $20,000 from their super over two years.