Temporary Ban on Net Short Positions in Response to Market
Turmoil in the Wake of Covid-19 Outbreak
On March 17, 2020, CONSOB, the Italian markets and securities
regulator, introduced an outright temporary ban on taking or
increasing net short positions in respect of all shares admitted to
trading on the Mercato Telematico Azionario (MTA), the Italian
regulated stock market, pursuant to the terms of EU Regulations
236/2012 and 918/2012. The list of the restricted shares is
included in Annex A.
The temporary ban applies to shares and all related instruments
relevant for the calculation of the net short position, including
derivatives. The prohibition applies to all legal and natural
persons, both within and outside Italy, and to any trading,
including OTC transactions. The measure does not apply in certain
cases specified in the CONSOB resolution (e.g., market making
activities).
