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  • Short Selling: European Commission Technical Standards – Frequently Asked Questions

    Date 29/06/2012

    What is short selling?

    Short selling is the sale of a security that the seller does not own, with the intention of buying back an identical security at a later point in time in order to be able to deliver the security. Short selling can be divided into two types:

    1."Covered" short selling is where the seller has borrowed the securities, or made arrangements to ensure they can be borrowed, before the short sale.

    2."Naked" or "uncovered" short selling is where the seller has not borrowed the securities at the time of the short sale, or ensured they can be borrowed.

    The technical standards issued today are designed to ensure that any short selling that takes place on the EU's financial markets is "covered".

  • Short Selling: European Commission Adopts Technical Standards

    Date 29/06/2012

    The European Commission has today set out the detailed rules aimed at reducing the risk of settlement failures linked to naked short selling, as well as the means by which market participants should disclose significant short positions to the market. The technical standards adopted today by the Commission are based on the work of the European Securities and Markets Authority (ESMA). They notably specify the details of the so-called "locate rule," which ensures that short sales do not result in a failure to deliver. The new rules also detail how ESMA is to determine the shares which are exempt from the Short Selling Regulation by virtue of their principal trading venue being outside the Union. Together with the Short Selling Regulation that they implement, the regulations adopted today will create a more transparent, orderly and stable market by reducing the risks tied to short selling.

  • Malawi Stock Exchange Weekly Trading Report - 29th June, 2012

    Date 29/06/2012

    Please click here to download the MSE Weekly Trading Report.

  • José Manuel Durão Barroso President Of The European Commission Joint Press Conference/Brussels 29 June 2012

    Date 29/06/2012

    The President of the European Council presented in a very detailed way our decisions. I will not repeat of course its comments. Let me just underline that this is indeed a very important set of conclusions because it shows substantial commitment to further action. As you know before this European Council and this euro area summit we mentioned that it would be important to have decisions on growth and we have taken these decisions today but also decisions for the future of the European Economic and Monetary Union and if possible also the possibility of some short term stabilization measures. And we have indeed achieved that. Because not only the leaders of the European Union Member States have generally agreed to pursue the work that has been prepared by the President of the European Council together with me, the President of the Eurogroup and the President of the ECB in terms of the genuine EMU but already today a fundamental decision was taken by the euro area. And this decision is no more than to have a single supervisory mechanism for the euro area. In fact one of the points that was highlighted in that report: the need to have an integrated supervision for the euro area and in fact the Commission will make appropriate proposals as a matter of urgency. We'll deliver swiftly a proposal for a supervisory mechanism for the euro area in accordance with Article 127(6). Of course this means that the ECB will be fully able to play its part in this euro area financial supervision. But not only we have taken this very important decision on the euro area level but also there are other measures that are now possible in terms of short term stabilization for some countries that are now feeling special pressure and there is concrete reference here to the case of Spain. A memorandum of understanding that we hope that will be now concluded as a matter of urgency for the financial support for the recapitalization of the Spanish banking sector with an important decision that is that when the ESM becomes available, this financial assistance that is now going to be provided by the EFSF will be transferred to the ESM, without gaining seniority status. This was in fact one of the main points in terms of market confidence in this operation and also some other decisions that are possible for other countries that are fully complying with the country specific recommendations and also the European Semester, the Stability and Growth Pact and the Macroeconomic Imbalances Procedure.

  • Hong Kong's Securities And Futures Commission: Approval Of Mainland-Traded Hong Kong Stock ETFs And Hong Kong-lLsted RQFII A-Share ETF

    Date 29/06/2012

    The Securities and Futures Commission (SFC) welcomes the China Securities Regulatory Commission’s approval today of two exchange-traded funds (ETFs) to be listed on the Shanghai and Shenzhen Stock Exchanges that will invest directly in Hong Kong listed stocks, each tracking a Hong Kong stock index (Hong Kong Stock ETFs).