The aim of the proposal is to increase the transparency in the ownership and interests in capital stock of listed companies by gaining an insight into the economic long positions whose value depends on the value of shares or dividend rights attached thereto. This may contribute to the protection of investors in financial instruments in order to ensure the proper functioning of these markets.
The proposal complements the current Dutch rules for notification of voting rights and capital interests in listed companies which are laid down in the Act on the Financial Supervision. The proposal includes financial instruments that are used to provide the holder of an economic value which depends on an increase of the value of the shares in a listed company, without providing the holder with a legal right to the (underlying) shares. Examples of these financial instruments are contracts for differences and total return equity swaps.