On 18 May 2026, SEC published proposal in the federal register, comments 8 June 2026.
Background:
Proposed Rule
- Propose to increase frequency, granularity of short selling information being reported.
- Require monthly report of daily allocations of Reg SHO Rule 204 fail to deliver positions
Short Selling Reporting
- Weekly reporting instead of twice monthly with submissions due one business day after the reporting date, after which FINRA would publish weekly.
- More granular reporting of certain positions tied to arranged financing transactions that FINRA argues reflect economic short interest and should be made publicly visible.
- Firms would be required to include in the report the final short positions for securities with deleted ticker symbols using the last valid settlement date.
- Explicitly would apply to OTC equity securities and exchange-listed equities, aligning the rule text with current operational practice.
