Is tighter regulation required in relation to short selling and stock lending?
• Yes 82% • No 18% Comment • Greater disclosure of short selling is required. • There is too much market manipulation occurring via these mechanisms. • Short selling is a form of market manipulation, although it is often dressed up as assisting to create an efficient market. Perhaps all short selling transactions should be indicated as such in trade data. At the moment speculation, fear and greed drive the market to excesses. • Definitely should be regulated against. • Given recent events it would seem so. • Absolutely. Parties involved in short selling should be required to disclose details of significant short selling in company stocks conducted over a period of time in a similar manner to the substantial shareholder reporting. Details should include the name of the short seller, the party lending the stock and the period of the loan, the volume and prices of shares sold over a period of time. The fines associated with failing to make settlement should also be significantly increased
