Articles

Amendment of Belgian short selling rules by FSMA

Amendment of Belgian short selling rules by FSMA

Amendment of Belgian short selling rules by FSMA

14.02.2012 BE law

On February 13, 2012, the Belgian financial regulator, the Financial Services and Markets Authority (FSMA) has amended the rules governing short selling of shares issued by certain financial institutions listed on Euronext Brussels and in related derivatives. Significant net short positions in Belgian financials are now no longer prohibited but are subject to a reporting obligation.

According to the FSMA, the new short selling rules are inspired by the Regulation of the European Parliament and of the Council of the European Union on short selling and certain aspects of credit default swaps that will enter into force on 1 November 2012 and enable a gradual transition from a temporary to a permanent system of rules on short selling.

The Belgian short selling measures now consist of the following rules:
  1. Prohibition of transactions in shares issued by certain financial institutions (Dexia SA, Ageas NV/SA, KBC Groep NV, and KBC Ancora CVA) without appropriate coverage;
  2. Disclosure of net short positions representing an economic interest in excess of 0.25 per cent of the capital of one of the financial institutions to the FSMA and the market. As long as the net short position exceeds the 0.25 per cent threshold, any changes of 0.01 per cent or higher must be disclosed to the market and reported to the FSMA. If the net short position falls below 0.25 per cent, a final disclosure and reporting is required. "Net short position" means a short position on one of the relevant issuers that is not or not entirely compensated by a long position on the same issuer. Investors must take into account all financial instruments relating to an issuer that give rise to an exposure, whether direct or indirect, in the equity share capital of the relevant issuer; and
  3. A requirement for qualified intermediaries to take reasonable measures to ascertain that their clients have appropriate coverage for their proposed transactions.
The exemptions to the short selling restrictions provided for in the list of questions and answers published by the FSMA remain in force. For further information: please consult the website of the FSMA.

Related news

17.01.2020 LU law
Stibbe boosts service offering in Luxembourg with new partners and counsel for asset management/funds and corporate & finance

Inside Stibbe - Luxembourg, 17 January 2020 – Stibbe reinforces its corporate & finance and asset management/funds practices in Luxembourg with the hire of Bernard Beerens (corporate partner), Audrey Jarreton (banking and finance counsel), Edouard d’Anterroches (investment funds partner), Victorien Hémery (investment funds partner), and Dayana Bert (investment funds counsel). Their arrival comes after the recent hire of tax partner Johan Léonard. All of these new additions demonstrate the firm’s commitment to expanding Stibbe’s service offering in Luxembourg.

Read more

15.01.2020 NL law
Consultatiereactie 'Wet plan van aanpak witwassen'

Short Reads - Soeradj Ramsanjhal, Karlijn van den Heuvel, Djoe Kuils, Rogier Raas, Judica Krikke en Muriël Rosing hebben een reactie ingediend op het concept wetsvoorstel ‘Wet plan van aanpak witwassen’. Dit wetsvoorstel is 2 december 2019 in consultatie gegaan en bevat verschillende voorgestelde wijzigingen van de Wet ter voorkoming van witwassen en financieren van terrorisme en de Wet op de economische delicten. 

Read more

17.01.2020 LU law
Stibbe Luxembourg étend son offre de services par la venue de nouveaux associés et counsels au sein des pratiques spécialisées en gestion d’actifs/fonds d’investissement, en droit des sociétés ainsi qu’en droit financier

Inside Stibbe - Luxembourg, le 17 janvier 2020 – Stibbe renforce ses pratiques spécialisées en droit des sociétés, en droit financier ainsi qu’en gestion d’actifs/fonds d’investissement par la venue de Bernard Beerens (associé, droit des sociétés), Audrey Jarreton (counsel, droit bancaire et financier), Edouard d’Anterroches (associé, fonds d’investissement), Victorien Hémery (associé, fonds d’investissement) et Dayana Bert (counsel, fonds d’investissement).

Read more

09.12.2019 NL law
Consultation to amend Dutch AML laws

Short Reads - On 2 December 2019, the Dutch Minister of Finance and Minister of Justice and Security published a consultation containing plans to amend Dutch AML laws and regulations. A short summary of these plans is set out below. For more information on the broader plans of the Dutch government to combat money laundering, we refer to our previous newsletters of 1 July 2019, 17 October 2019 and 15 November 2019.

Read more

15.11.2019 NL law
Het kerstmenu van de AFM: vijf gangen - Column Fondsnieuws

Short Reads - Vliegen de pepernoten, adventskalenders en kerstkransjes u alweer om de oren?  Nee, het aanmeten van een gezonde levensstijl wordt u aan het einde van het jaar niet makkelijk gemaakt. Gelukkig helpt het Voedingscentrum ons daar een handje bij; en wel met de 'Schijf van Vijf'. De AFM introduceerde vorig jaar iets vergelijkbaars voor de financiële sector.

Read more

Our website uses functional cookies for the functioning of the website and analytic cookies that enable us to generate aggregated visitor data. We also use other cookies, such as third party tracking cookies - please indicate whether you agree to the use of these other cookies:

Privacy – en cookieverklaring