Urgent Action Required: ESMA Clarifies Reporting of Short Positions Above New 0.1% Threshold

Author

Eddie Stern, Martin Lovick

Publish Date

Type

Compliance Alert

Topics

  • Compliance

ESMA has now published a statement on how firms should report Net Short Positions (NSP) held when the reporting threshold reduces from 0.2% to 0.1% on 31 January 2022. The statement includes a table showing worked examples based on position size and timings.

The new requirements state that any NSPs between the 0.1% and 0.2% thresholds held on 31 January 2022, will need to be notified to the Relevant Competent Authority before 3:30pm local time on 1 February 2022, including where the positions were entered into ahead of that date.

Firms should ensure they have arranged access to Relevant Competent Authority portals, for any positions that become reportable from 1 February 2022.

Questions

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