On 2 January 2025, UK FCA updated guidance page on notification and disclosure of net short selling to add the updated UK list of exempted shares valid from 1 January 2025. List has been reviewed to include shares admitted to trading on UK trading venues until 31 October 2024, list valid from 1 January 2025,…
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S Korea – FIA Investment Compliance Manual Re: Short Selling
On 31 December 2024, SK FIA revised compliance manual for investment firms. SK FIA revised Compliance manual for financial investment firms - asset management. Overview of Revisions Add sections re responsibilities structure, concurrent and ancillary businesses of collective investment business operators under the internal control standards chapter. Short selling, precautions for lending/managing collective investment assets…
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U.S. – SEC Rule 13f-2 Short Selling Reporting
On 2 January 2025, the Securities and Exchange Commission's rule 13f-2 came into effect. Requires financial institutions to report short selling activity Identifies reporting and non-reporting issuers First report due on 14 February 2025.
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S Korea – FSC Recovery of Illegal Profits RE: Short Selling
On 27 December 2024, SK FSC proposed amendments re illegal short selling. SK FSC, SK FSS, SK GVT proposed amendments to Enforcement decree of the capital market and financial investment business act and Capital market business regulations. Follows SK FSC November 2024 proposed revisions to statutes on short selling. Also follows SK FSC, SK FSS…
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U.S. SEC – Fines IA for Short Selling Against Clients
On 20 December 2024, SEC settled with IA for short selling against its clients. SEC reported it charged Honk Kong IA Snow Lake Capital Ltd for trading rule violation. IA purchased equity securities on behalf of its advisory clients from an underwriter or B/D participating in follow-on offering, after short selling same securities days before.…
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S Korea – FSC Fines 2 Global Banks for Naked Short Selling
On 18 December 2024, Bloomberg reported that the FSC has fined barclays Plc and Citigroup, Inc. for naked short selling. Barclays was fined 13.7 billion won ($9.5 million) Citi was fined 4.7 billion won ($3.2 million) by the Securities and Futures Commission Short selling is banned in S Korea through 30 June 2025
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