News 24 Jun. 2021
Curtis successfully defends foreign states' procedural privileges in the UK Supreme Court
News 23 Jun. 2021
Ibrahim Elsadig joins Curtis as Partner in Dubai
News 09 Aug. 2021
Curtis, Mallet-Prevost, Colt & Mosle enters into association with Chevalier Law in Singapore.
Event 23 Apr. 2021
Partner Borzu Sabahi to speak on Damages, Enforcement and Annulment of Arbitral Awards at Executive Training Program hosted by the Government of India and the Indian Institute of Foreign Trade
Client Alert 18 Oct. 2021
Senior Associate Martin Wolff Discusses Practical Questions with Regard to the German Implementation of the EU Directive on Cross-Border Tax Arrangements (DAC6) in Institutional Money
News 18 Oct. 2021
Jan Krupski Joins Curtis as a Partner in Frankfurt
News 15 Oct. 2021
Claudia Frutos-Peterson and Elisa Botero Ranked Among the Top 100 Female Lawyers in Latin America by Latinvex
News 13 Oct. 2021
Curtis Joins The Appellate Project to Promote Appellate Practice to Diverse Law Students
Client Alert 15 Oct. 2021
Recent change in Dubai’s Arbitration Landscape.
News 20 Sep. 2021
Curtis Successfully Defends the Sultanate of Oman and Oman Aluminium Rolling Company LLC in U.S. Department of Commerce Trade Case
Client Alert 05 Oct. 2021
Proposed Legislative Changes to Federal Estate, Gift and Trust Taxation
Publications 22 Sep. 2021
Client Alert 24 Jun. 2021
U.S. Insight: Update on Virtual Notarization (Executive Order 202.7) During the COVID-19 (Coronavirus) Pandemic (Updated: June 24, 2021)
U.S. Insight: Update on Virtual Witnessing (New York Executive Order 202.14) During The COVID-19 (Coronavirus) Pandemic (Updated: June 24, 2021)
Publications February 2009
The UK Financial Services Authority (FSA) recently adopted the Short Selling (No. 5) Instrument 2009 (the Short Selling Instrument), which ends the ban on short selling in UK financial sector companies, and extends the disclosure requirements for significant short positions held in such companies until 30 June 2009. The Short Selling Instrument came into force on 16 January 2009. The FSA considers non-compliance with the Short Selling Instrument provisions to amount to market abuse under the Financial Services and Markets Act 2000, and as such non-compliance may result in the same consequences as any other breach of the market abuse regime, including a fine or a public censure. The list of companies whose securities are affected is available at: http://www.fsa.gov.uk/pubs/other/Shortselling_list.pdf
Amended Disclosure RequirementsSince 18 September 2008, the FSA has required the daily disclosure of investors' net short position of 0.25% or more of the issued share capital of a UK company held at market close on the previous working day (the Disclosure Obligation).
The Short Selling Instrument amends the Disclosure Obligation so that once made, further disclosures are only required on a short position changing, reaching, exceeding or falling below disclosure bands placed every 0.1% above the 0.25% threshold, i.e., at 0.35%, 0.45%, etc. In addition, a final disclosure is required when a position decreases below 0.25%. The holder of such position is required to disclose it to the market via a Regulatory Information Service (RIS) announcement by 3:30 p.m. on the business day following the day the Disclosure Obligation arises.
Market-makers continue to be exempt from the Disclosure Obligation. For the purposes of the Short Selling Instrument, the FSA considers as market-makers entities that, as part of their business, ordinarily deal as principals in equities, options or derivatives, whether OTC or exchange-traded, to fulfill orders received from clients, to respond to a client's request to trade or to hedge positions arising out of those dealings, and/or in a way that ordinarily has the effect of providing liquidity on a regular basis to the market on both bid and offer sides of the market in comparable size. Trading in circumstances other than genuinely for the provision of liquidity is not exempt.
Carl A. Ruggiero