Global Short Selling Restrictions in a COVID-19 Economy
Since the outbreak of the COVID-19 pandemic and the resulting lockdown of Wuhan, China on 23 January 2020, world markets have seen unprecedented swings, developed and developing countries alike have experienced severe economic damage, and regulators around the world have taken swift and significant actions in attempts to stave off further financial turmoil.
For investment managers and other market participants, the most frequent and severe regulatory measures have been directed at their short positions. And yet, as trading suspensions and complete market closures have also made clear, no type of investor is immune from this new global wave of regulations.
Hover over a jurisdiction below, for a sampling of where your short position may be banned outright, or otherwise subject to these emergency measures. And keep in mind that, while some of these temporary rules have expired and given some hope for normalcy, many others do remain in force, and moreover regulators are now well-equipped to quickly introduce a second wave should the need arise.
*This map includes content derived from Rulefinder Shareholding Disclosure, the online legal service from aosphere LLP. We work with aosphere to source legal content for our rules engine.