On 17 March 2020, FSC advised of its decision not to ban short-selling. BUL FSC stated it would not ban short-selling in relation to the COVID-19 outbreak. Follows ESMA 16 March 2020 decision on net short position holders. FSC published release re the ESMA decision on new reporting requirement on 16 March. It clarified that…
Read more
Taiwan – FSC Short Sale Rules
On 18 March 2020, TAI FSC introduced restrictions on securities borrowing. Total balance of securities borrowing and margin trading shall not exceed 25% of OTC listed securities or beneficiary units; total securities borrowing shall not exceed 10%. Amount of securities borrowing orders on intraday market must not exceed 10% of the average transaction volume over…
Read more
Germany – BaFin ESMA Reporting Threshold
On 16 March 2020, GE BaFin reduced reporting for net short positions. Follows, ESMA March 2020 issued decision on net short position holders. ESMA has lowered the reporting limit for net short positions in shares to 0.1 percent. Reduction in reporting limit is a precautionary step related to the COVID-19 pandemic. It will grant exceptions…
Read more
Italy – Extends Short Selling Ban
On 17 March 2020, ESMA issued official opinion agreeing to emergency short selling prohibition for 3 months by CONSOB on all transactions which might constitute/ increase net short positions on all shares traded on Italian MTA regulated market. For which ITA CONSOB is relevant competent authority and to all related instruments relevant for calculation of…
Read more
South Korea – FSC Tightens Short-Selling Rules
On 13 March 2020, SK FSC imposed a ban on stock short-selling in the KOSPI, KOSDAQ and KONEX markets for a period of six months starting from 16 March to 15 September 2020. During the period, current limits on stock buybacks will be lifted for listed companies. Minimum requirement for collateral coverage ratio for stock…
Read more
Thailand – SET COVID-19 Short Selling Change
On 13 March 2020, Thai SET issued adjustment of short selling regulations. Revised regulations regarding short selling to reduce the effects of the current market conditions caused by the Covid-19 outbreak and global economic condition. In this regards, short selling must be conducted at a higher price than the previous price (plus tick), commencing from…
Read more