Friday June 7 2013

News Source: Global Disclosures

Focus: Short Selling

Type: General

Country: Italy




Following the publication in February 2013 of ESMA`s guidelines on the primary dealer and market maker exemptions under the EU Short Selling Regulation, Consob and the Bank of Italy have issued a joint communication on the transposition of the measures in Italy.

The Communication deals with the following:

  • The exemption for market making activities and primary dealers in the light of the Guidelines, including the connection of the market maker or primary dealer with the trading venue on which they conduct activities; associated instruments to shares and debt instruments; the evaluation of the request for exemption
  • The competent authority to receive the notification, including the distinction between EU entities and non-EU entities;
  • The process for making a notification, including the identification of financial instruments; documentation requirements and the notification period.

The ESMA guidelines became applicable on 2nd June, with a transitional period of 6 months. Consob and the Bank of Italy have notified ESMA of their decision to apply the guidelines.

With reference to the competent authorities for the notification of the use of the exemptions, the following information has been provided:

  • for debt and CDS on sovereign issuers, notifications related to the use of exemptions for market makers and primary dealers are to be sent by registered mail to the Bank of Italy – Market Supervision and Payment System – Markets Division and payment systems – Via Nazionale 91 – 00185 Rome or using the email smp@pec.bancaditalia.it. The sending of the notice must be notified in advance via email to shortselling@bancaditalia.it;
  • for shares, notifications pertaining to the use of the exemptions to the activity of market makers are to be sent by registered mail to Consob – Markets Division – Office Post-Trading – Via G. B. Martini 3-00198 ROMA or using the email consob@pec.consob.it. The sending of the notice must be notified in advance via email to shortselling-service@consob.it.

Click on the above link for the Communication (Italian).