Yieldbroker’s platform selected by the Reserve Bank of Australia to facilitate Quantitative Easing

Press Releases
2 June 2020

Reserve Bank of Australia to facilitate Quantitative Easing

Yieldbroker’s platform selected by the Reserve Bank of Australia to facilitate Quantitative Easing

Sydney/Singapore – With Australia continuing to move progressively forward through the COVID-19 health challenges, the official sector has also been focussed on minimising the disruption to the economy, banking sector and financial markets.

The Reserve Bank of Australia (RBA) has played a large part in keeping Australian financial markets functional. To ensure the continued operation of bond markets through the volatile trading conditions experienced in recent months, on 19th March 2020 the RBA announced that they would be purchasing Australian Government securities to provide surety and liquidity to the financial system.

Yieldbroker was proudly selected as the electronic trading platform for the RBA’s activities (RBA purchases of Government securities). As a proven auction platform, Yieldbroker understands the importance of Central Bank interaction with financial market participants and worked very closely with the RBA to ensure its specified processes, necessary connectivity and compliance requirements were in place.  Working collaboratively within tight timeframes, the RBA successfully purchased over AUD 51bn of Australian Government securities though the Yieldbroker platform throughout late March, April and May 2020.

This rapid increase in fiscal stimulus to support the economy has also required a similarly large increase in Government borrowing programs. In April and May this year, the Australian Office of Financial Management (AOFM) net bond issuance through the Yieldbroker platform increased 11-fold on the prior year.

“For over 20 years, Yieldbroker has played a pivotal role in providing the digital infrastructure and technological expertise to support the Fixed Income markets in Australia and New Zealand. A critical part of this has been enabling the timely and efficient execution of issuance and buy back of bonds from the official sector. Working in collaboration with the RBA on delivering these necessary initiatives is testament to the trust they have in our ability to deliver,” says Anthony Robson, CEO of Yieldbroker.

For further information on Yieldbroker connectivity for trading or access to Yieldbroker market data and trading analytics please contact BusinessDevGroup@yieldbroker.com.