The FSA has published Feedback Statement 09/4 which contains FSA feedback on the responses to the proposals concerning the regulation of short selling set out in an earlier Discussion Paper.
The FSA confirms that it intends to pursue enhanced transparency of short selling through disclosure of significant short positions in all equities. However, it will work towards agreement on future requirements at an international level rather than introducing a separate domestic regime. In the meantime it has no plans for immediate changes to its current short selling requirements.
Alexander Justham, FSA director of markets, said:
"The consultation exercise has confirmed our support for enhanced disclosure requirements for significant short positions rather than any direct restrictions on short selling, other than on a temporary basis in exceptional market conditions. But we remain committed to securing agreement on as wide an international basis as possible and, in particular, to achieving a harmonised regime within Europe."
View Feedback Statement 09/4: Short selling: Feedback on DP09/1, 1 October 2009