24 April 2017
Focus: Short Selling
Organisation: Financial Supervisory Authority (Iceland)
Type: General
Country: Iceland
Link: https://goo.gl/sAJAJP
The Financial Supervisory Authority of Iceland (FME) has published a Circular confirming submission of a bill proposing to implement EU Regulation 236/2012 on Short Selling and certain aspects of Credit Default Swaps to Parliament (Short Selling Regulation).
The Law is expected to be passed and become effective on 1stJuly, 2017.
The EU SSR, which has been directly applicable to all EU Member States since 2012, is required to be included in the EEA Agreement and implemented by the Icelandic Parliament prior to being applicable in European Economic Area (EEA) jurisdictions.
Norway, also a member of the EEA, implemented the SSR from 01 January earlier this year.
Duty to report short selling positions
The SSR imposes a duty upon investors to report net short positions in shares listed on a regulated market or Multilateral Trading facility (MTF), calculated at midnight on the trading day, if the position exceeds 0.2% (and additional thresholds of 0.1%) of the issued stock for the shares, or 0.1% (and additional thresholds of 0.05%) of the issued value of sovereign debt, which is required to be reported to the FSA by 3:30 p.m. on the next trading day following the trade. For sovereign debt notifications, the threshold of 0.1% may be amended quarterly depending on the issued sovereign debt (private notification only).
Please follow the link at the top of the page to view the Circular.
