Financial Market Authority extends short selling ban

UniCredit Bank Austria AG
Summary: 
Austrian Financial Market Authority (FMA) has extended the ban on short selling of certain financial instruments listed on the Vienna Stock Exchange (Wiener Börse) until 18 May 2020.
Thu, 16/04/2020

The Austrian Financial Market Authority (FMA) has extended the ban issued on 18 March 2020 by means of a Regulation for the temporary prohibition of short selling of certain financial instruments listed on the Vienna Stock Exchange (Wiener Börse) in an amended form until 18 May 2020.

While short selling was prohibited to date in regard to every individual transaction, the amended Regulation now focuses on net short positions. The ban now relates to establishing new net short positions or increasing existing net short positions. All shares admitted to trading on the Regulated Market of the Vienna Stock Exchange (Wiener Börse) that fall under the competence of the FMA as supervisory authority, continue to be addressed by this ban. Transactions where there is a market making function are excluded from the ban as well as certain transactions in financial instruments that are based on an index or a basket of securities, which track an index.

The extension and amendment of the Regulation shall enter into force on 16 April 2020, and shall apply temporarily, until 18 May 2020. This harmonised approach was agreed upon with the European Securities and Markets Authority (ESMA).

Impact on investors: Short selling ban at the Exchange extended until 18 May 2020