France Relaxes Ban On Short Selling

(RTTNews) - The French financial regulator, AMF, has eased a ban on the taking of net short positions in relation to pre-existing positions built through expiring derivatives. The regulator said on Thursday that it has adjusted the position with regard to the implementation of the ban, in view of the existing practical difficulties and time constraints.

Under the new measure, investors holding a net short position in relation to one of the securities concerned through expiring derivatives are allowed to roll forward their position. Investor can roll forward their position, even if it results in the creation of a net short position with a further expiry date, provided that the net short position so created does not exceed the one held previously.

France imposed a ban on new short positions on financial stocks on August 11 after Societe General SA, the nation's second-biggest bank, plunged the most since 2008.

Read more at Ironfx.com