BBC News reports that MEPs have voted in favour of restricting the practice of "naked" short selling.
Short-sellers usually borrow shares or bonds, sell them, then buy them back when the stock falls - pocketing the difference.
"Naked" short-selling is when a trader sells financial instruments he has not yet borrowed.
A new directive places conditions on the use of credit defaults swaps (CDS) - a form of government debt insurance.
Read more here: http://www.bbc.co.uk/news/business-12670943
May 16 - Ask Me Anything about the Spring 2024 IGIM Conference Season
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I'm pleased to announce that my next Ask Me Anything (AMA) session is
scheduled for May 16, 2024 at 12:00pm EDT / 10:00am MDT. The topic is the
Spring 20...
3 days ago
1 comment:
The idea seems vaid but how could they possibly regulate this? Also, isn't the government taking a step too far in regulating the stock exchange?
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