Regulatory Alerts2020-03-18
Opinion on AMF Emergency Measure under Short Selling Regulation
ESMA issued an opinion approving the French AMF's emergency ban on creating or increasing net short positions on shares traded on French venues. The prohibition, effective from 18 March to 16 April 2020, applies to all market participants while exempting market makers, index-related instruments, and specific hedging strategies. ESMA concluded that the one-month restriction is necessary, appropriate, and proportionate to counter pandemic-driven downward price spirals, information asymmetry, and threats to market confidence and financial stability in France.
Share