The FSA Japan decided to temporarily prohibit naked short-selling and to take additional measures to strengthen the restrictions on short-selling of stocks.
The FSA Japan decided to temporarily prohibit naked short-selling and to take additional measures to strengthen the restrictions on short-selling of stocks.
The following regulatory measures have already been taken on short-selling with regard to all listed stocks in Japan:
1) An "uptick rule requirement" which prohibits, in principle, short-selling at prices no higher than the latest market price
2) Requirements for traders to verify and mark whether or not the transactions in question are short-selling
3) Request on exchanges to make daily announcements on their aggregate price of short-selling regarding all securities and aggregate price of short-selling by sector.
In addition, the FSA has decided to take temporary measures effective until 31 March 2009.
1) Naked short-selling is prohibited from 30 October 2008 onwards.
2) Holders of a short position of a certain level or more are required to report to exchanges through securities firms. Exchanges are required to publicly disclose such information (scheduled to be implemented around mid-November 2008).
© FSA Japan
Key
Hover over the blue highlighted
text to view the acronym meaning
Hover
over these icons for more information
Comments:
No Comments for this Article