NEWS

University of Memphis researchers recently published (Chinmay Jain, Pankaj K. Jain, and Thomas H. McInish, “Short Selling: The Impact of SEC Rule 201 of 2010,” November 30, 2010) a study indicting the intellectual foundations used to justify implementation of the SEC’s Rule 201, which restricts short selling of stocks that experience a 10-percent intraday price [...]

EUReportonsovereignCDS12072010A “Report on Sovereign Collateral Default Swaps” by the EU found that there was “no conclusive evidence that developments in the CDS market causes higher funding costs for member states.” The Dutch newspaper Het Financieele Dagblad obtained the report by filing a freedom of information request.
“Report on Sovereign CDS,” released to Dutch newspaper Het [...]

Financial Times columnist John Kay writes ( “Love the Bearer of Bad News,” December 8 ) that there are “more cases where sellers brought the bad news of lies and misrepresentations. . . . And when regulatory authorities attempted to ban short selling of financial stocks in the autumn of 2008, their objective was [...]

The Committee of European Securities Regulators (CESR) released on 3 December a “Call for Evidence” as it begins to prepare techical rules to implement the Alternative Investment Fund Managers Directive. The request is available at: http://www.cesr.eu/popup2.php?id=7318 .

PascalCanfinReport_120610

Reuters correspondents John O’Donnell and Julien Toyer report (“Brussels Pushes for Short Selling Ban Power in Early 2011,” November 26) that “the European Parliament and the bloc’s executive are pushing to fast-track powers to ban short-selling of government debt by early 2011 but face resistance from Britain, which is worried this could raise borrowing costs.
“Michel [...]

Washington, D.C., November 19 – In response to the Securities and Exchange Commission’s proposal today to implement registration requirements, as mandated by the Dodd–Frank Act, the Coalition of Private Investment Companies reiterated its support for registration and greater transparency as key steps in helping regulators monitor and address systemic risks.
‘In testimony before Congress, we [...]

The Wall Street Journal reports (November 15, 2010, “SEC to Issue Proposal to Register Hedge Funds”) the Securities and Exchange Commission will meet Friday, November 19, to consider new rules requiring hedge funds and other private investment companies to register with the agency and undergo exams.
“The SEC, which placed a notice of the meeting [...]

From Hedgeweek, a detailed description of the AIFM Directive’s provisions for third-country access:
Agreement after some 18 months of debate and negotiation on the Directive on Alternative Investment Fund Managers, which will create a single market for the marketing of alternative funds to professional investors throughout the European Union, offers new opportunities for Luxembourg as a [...]

The Wall Street Journal reports (November 11) that the Tokyo Stock Exchange plans to impose short-selling restrictions. “As one option, the TSE is mulling the idea of proposing the adoption of a U.S. federal provision known as Rule 105 of Regulation M, which was amended in late 2007. The rule prohibits investors from [...]