NEWS

Scott Patterson of The Wall Street Journal reports (September 29, 2009) that the “Big Wall Street firms from Vanguard Group Inc. to Goldman Sachs Group Inc. are lining up against new rules to restrict short-selling under consideration by the Securities and Exchange Commission.
“In several letters filed last week with the SEC over the proposed restrictions, [...]

University of North Carolina researchers Joseph E. Engelberg, Adam V. Reed, and Matthew C. Ringgenberg find that “the main source of short sellers’ advantage is in their ability to process publicly available information.” Their September 1, 2009 study shows that “short sellers are good at processing publicly available information.” The researchers “call into [...]

SEC Lacks Empirical Data To Back Substantial Limits Proposed for Short Selling;
Market Quality Would Be Undermined to Investors’ Disadvantage
Washington, D.C., September 21 – The Coalition of Private Investment Companies (CPIC) today said a new proposal by the Securities and Exchange Commission (SEC) to limit short selling through an “alternative uptick rule” would lead [...]

CPIC Chairman James S. Chanos outlines on CBS Moneywatch (September 21, 2009) the sources of the financial crisis between 2007 and 2009 and the emerging lessons. In an interview with CBS Marketwatch reporter Jill Schlesinger, he said, “I’m not sure a lot has changed; there’s some troubling signs of backsliding.” As an example, [...]

The Financial Times reports (September 20, 2009) on a survey by RBC Dexia of institutional investors, who think there is a link between short selling and share price movements.
Editor Pauline Skypala reports that, “Over 90 per cent of respondents to a global survey by RBC Dexia on securities lending said short selling had [...]