France and Belgium lift short selling bans
13 February 2012 Paris
Image: Shutterstock
French and Belgian financial regulators have announced that short selling bans on selected stocks will not be extended.
France's Financial Markets Authority (AMF) said, "The provisions prohibiting any creation of a net short position and increase of an existing one in relation to French equity securities of the financial sector...came to an end on Saturday 11 February 2012. As a consequence thereof, the prohibition of short sales...is lifted."
The announcement comes hot on the heels of an agreed Greek austerity package, as the indebted country begins talks to reach a bond restructuring agreement with creditors in order to secure a second €130 billion bailout.
The ten insurance companies and financial stocks affected by the French ban were: April Group, Axa, BNP Paribas, CIC, CNP Assurances, Crédit Agricole, Euler Hermès, Natixis, Scor, Société Générale.
AMF added that regulatory disclosure requirements on equity securities implemented this month are in effect and that any investor must be in a position to deliver sold securities within three trading days.
Belgium's financial regulator also announced that the country's short selling ban on specific stocks is lifted though a naked short selling ban would remain in place and significant short positions would be subject to reporting requirements, according to various media reports.
Bans in Italy and Spain remain in place.
France's Financial Markets Authority (AMF) said, "The provisions prohibiting any creation of a net short position and increase of an existing one in relation to French equity securities of the financial sector...came to an end on Saturday 11 February 2012. As a consequence thereof, the prohibition of short sales...is lifted."
The announcement comes hot on the heels of an agreed Greek austerity package, as the indebted country begins talks to reach a bond restructuring agreement with creditors in order to secure a second €130 billion bailout.
The ten insurance companies and financial stocks affected by the French ban were: April Group, Axa, BNP Paribas, CIC, CNP Assurances, Crédit Agricole, Euler Hermès, Natixis, Scor, Société Générale.
AMF added that regulatory disclosure requirements on equity securities implemented this month are in effect and that any investor must be in a position to deliver sold securities within three trading days.
Belgium's financial regulator also announced that the country's short selling ban on specific stocks is lifted though a naked short selling ban would remain in place and significant short positions would be subject to reporting requirements, according to various media reports.
Bans in Italy and Spain remain in place.
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