FINRA Seeks Comment On Expansion Of Short Interest Reporting Requirements

FINRA requested comments on (i) potential changes to its short interest reporting requirements, (ii) a new rule that would require clearing agency participants to report information on allocations to correspondent firms of fail-to-deliver positions and (iii) additional requirements concerning short sale activity.

FINRA is considering:

• streamlining the publication of short interest data that it receives from firm reports for listed and unlisted securities alike;
• requiring firms to segregate into separate categories the short interest held in proprietary accounts and short interest held in customer accounts, and to provide such information as of the close of each settlement date;