The cookies are for analytical purposes have already been set. For more details please see our privacy and cookie policy. Short selling is the practice of selling a financial instrument without actually owning it, with the intention of buying it back later at a lower price.

The regulatory authorities are concerned that such practices could be detrimental to the markets and potentially abusive. The EU Short Selling Regulation came into effect on 1 November As an EU Regulation it will have direct effect in UK Law. Net short positions of 0.

Calculation of net short positions must also include indirect holdings via related financial instruments including derivatives including index derivatives , baskets, depository receipts and ETFs. Sovereign debt — short positions of 0.

The regulations prohibit the short selling of EU shares and sovereign debt unless the position has been covered by borrowing the relevant stock or an agreement exists to borrow the stock.

Market makers and authorised primary dealers have some exemptions from both the short position disclosure requirements and the restrictions on uncovered short sales in shares and sovereign debt in relation to their market making activities. The EU regulation will require the FSA and other competent authorities to impose penalties on firms for infringements on this Regulation. Takeover Code Rule 8. UnaVista's Shareholder Disclosure solution allows you to address multiple global disclosure regulations through one interface.

With intuitive graphic interface and flexible workflow capabilities, UnaVista Shareholder Disclosure solution automates the process of monitoring and reporting short selling positions.

EU Short Selling Regulation | London Stock Exchange Group

The solution currently provides country specific reporting formats to the following EU jurisdictions: Austria, Belgium, Finland, France, Germany, Hungary, Ireland, Italy, Luxembourg, Netherlands, Spain, Sweden and the United Kingdom. Additional EU and global jurisdictions can be easily configured to support specific client needs.

The solution helps UnaVista clients to:. FSA published a Consultation Paper on 30 August London Stock Exchange Group uses cookies to improve its website.

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Legal Entity Identifiers LEI. Regulatory News Service RNS. Group Post Trade Services. Venue hire at London Stock Exchange. Venue hire at Borsa Italiana, Palazzo Mezzanotte. You are here Home Markets, Products and Services Post Trade Services UnaVista UnaVista Solutions Regulatory Solutions Buy-Side Reporting EU Short Selling Regulation.

EU Short Selling Regulation. Back to Buy-Side Reporting AIFMD Beneficial Ownership Form CPO-PQR Form PF N-PORT and N-CEN Short Selling Takeover Code Rule 8. Read about how UnaVista's Shareholder Disclosure solution can help with this regulation.

This article is not intended to constitute regulatory advice. Please see our notice. UnaVista EU Short Selling Reporting solution can help with your validation, submission and storage of positions. What is the Short Selling Regulation? When does short selling regulation begin?

How will short selling regulation affect you? Key points at a glance Net short positions of 0.

Short-Sale Rule

FSA would make this notification through a Regulatory Information Service For more information on national notifying processes and forms, please visit; Restrictions on Short Selling The regulations prohibit the short selling of EU shares and sovereign debt unless the position has been covered by borrowing the relevant stock or an agreement exists to borrow the stock.

Market Maker Exemptions Market makers and authorised primary dealers have some exemptions from both the short position disclosure requirements and the restrictions on uncovered short sales in shares and sovereign debt in relation to their market making activities. Penalties The EU regulation will require the FSA and other competent authorities to impose penalties on firms for infringements on this Regulation. Related regulations If you are affected by the this regulation you may also be affected by these: The solution helps UnaVista clients to: Calculate directly and indirectly held positions e.

Get a graphical overview of your positions — UnaVista has graphical dashboards and reports to ensure your compliance personnel are able to make the required disclosures to the relevant competent authority by 3: So you can be sure that the calculations for your long position, short position and net short position for each financial instrument are conducted at the level of each legal entity fund level and also at each portfolio level.

Become an expert - UnaVista hold regular training sessions on a range of regulations for trading desk, Middle Office and Back Office personnel. Where you can find further information The Commission delegate Regulation can be accessed at: Find out more about UnaVista or request support.

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