Regulatory Alerts2020-04-01
Added · Updated
Decision of the European Securities and Markets Authority of 16 March 2020 on the temporary lowering of the notification threshold for net short positions in shares admitted to trading on a regulated market
The European Securities and Markets Authority (ESMA) issued this Decision on 16 March 2020 to temporarily lower the net short position notification threshold from 0.2% to 0.1% of issued share capital for shares traded on EU regulated markets. This measure was adopted in response to the severe market volatility and downward price spirals caused by the COVID-19 pandemic, which posed a significant threat to market integrity and financial stability. The Decision requires market participants to notify national competent authorities immediately upon reaching or falling below the new 0.1% threshold, ensuring enhanced transparency and monitoring capabilities for a period of three months.
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