Short selling

There are certain short selling disclosure requirements under the law. Generally, a person must report their short position in relation to a section 1020B product in a listed entity:

  1. If the person:
    1. makes a covered short sale of the section 1020B product on a licensed market (i.e. the seller intends that a securities lending arrangement will ensure that the section 1020B products can be vested in the buyer);
    2. at 7pm on day T (or alternatively the global end calendar time), has a short position in that product; and
    3. has a total short position above the reporting threshold; or
  2. If at 7pm (or alternatively the global end calendar time) on subsequent reporting days after a person has reported a short position, the person continues to have a short position above the reporting threshold.

The short position reporting obligation applies to a person irrespective of whether the person is inside or outside of Australia.

See Regulatory Guide 196 Short Selling for further guidance regarding short position reporting and any exceptions to short position reporting.

This page/section contains:

More information

Information Sheets:

Contact:

Last updated: 24/09/2012 12:00