Asset liquidity remains critical in mitigating adverse impacts from potentially large redemption pressures, which are common during periods of unfavourable market conditions. Recognising the need for an industry-wide assessment, the SC developed and conducted a series of macro stress tests on unit trust and wholesale funds (collectively referred to as investment funds). This aligns with the International Organization of Securities Commissions^’1 (IOSCO) focus onassessing the liquidity characteristics of assets in relation to their anticipated redemption flows in stressed market conditions.