The Dutch regulator, the Netherlands Authority for the Financial Markets (AFM), has extended the ban on the naked short-selling of shares issued by financial companies. The ban will now last until 1 June 2009. The measures concern (depository receipts of) shares issued by financial companies which are traded on the Euronext Amsterdam stock exchange (AEGON, Binck Bank, Fortis, ING Group, Kas Bank, SNS Reaal, Van der Moolen and Van Lanschot). The extension also provides for a notification obligation for those parties having a cumulated net economic short position exceeding 0.25% of the capital of one of the financial companies involved.
The ban has been extended by amending the Temporary Regulation concerning Short Selling. This Temporary Regulation is based on articles 1:28 (3) and 5:58 (1) and (3) of the Act on the Financial Supervision (AFS).
Further information (in English) on the ban on naked short-selling on the AFM website, please click here.