Alerts

UK FSA Issues Guidance on New Short Selling Rule

June 18, 2008

The UK Financial Services Authority (FSA) has issued guidance with respect to its new rule on short selling in rights issues. As described in our Alert dated 16 June 2008, starting on 20 June 2008 the Code of Market Conduct will require disclosure of short positions representing an economic position of 0.25% of issued shares in stocks admitted to trading on prescribed markets which are undertaking rights issues. The FSA’s guidance is in the form of 23 “Frequently Asked Questions” (FAQs).