DENMARK: FSA Denmark reprimands company for violation of EU Short Selling Regulation

Thursday September 12 2013

The Danish FSA has reprimanded Macquarie Funds Management Hong Kong Limited for violation of Article 9 of the EU Short Selling Regulation.

Under Article 9 of the Regulation, a natural or legal person who has a short position must disclose its net short position at midnight on the trading day on which the position is achieved. If the net short position is more than 0.2% of the listed company`s share capital, the natural or legal person shall report this to the relevant competent authority by 15.30 the following day. For shares admitted to trading on Danish trade centres the relevant competent authority for reporting is the FSA.

Macquarie Funds Management submitted a communication on a short position on 17 June 2013 in a company admitted to trading on a regulated market in Denmark. The notice stated that the date of the short position was Friday 7 June 2013. The deadline for submission of Macquarie Funds Management Hong Kong Limited short position was thus on Monday 10 June 2013. However, Macquarie Funds Management had only proceeded to register on the FSA`s database of company announcements on 12 June 2013.

Macquarie Funds Management explained that the delay in reporting was due to a misunderstanding of who was the relevant competent authority of that company`s shares.

Click on the above link for the FSA announcement (Danish).