MFA's Desktop
2.9.2010
International management consultancy Oliver Wyman published a report today that provides the first clear evidence that rules requiring public disclosure of short positions make it more expensive and difficult for all participants to invest in equity markets.
The report finds that the public short sale disclosure regime in effect in the United Kingdom has caused: (i) bid-ask spreads for UK stocks subject to disclosure to widen by over 45%, (ii) total trading volume in affected UK stocks – including long trades – to decrease by 13%, and (iii) short selling liquidity to be impaired by approximately 20%. Together, these effects limit the ability of businesses to raise capital and create jobs, and raise costs for pension funds, retail funds, and other investors. Click here to read MFA's news release about the report.
2.1.2010
MFA submitted a letter to the UK House of Lords in response to a Call for Evidence from the Subcommittee regarding the European Commission’s Communications on ensuring safe and sound derivatives markets. In our letter, we: (i) discussed the benefits of the derivatives markets; (ii) noted that derivatives helped market participants to hedge their risk exposures during the worst months of the financial crisis; (iii) agreed that the European Commission’s approach to monitor and, when appropriate, to impose minimum collateral levels with respect to non-cleared derivatives transactions is the correct level of oversight; and (iv) encouraged the European Commission to coordinate its regulation and oversight of the derivatives markets with other regulators around the world to prevent market segmentation
Click here to view Archive | The Resource Center
MFA's Winter 2009 Reporter Read More
MFA's White Paper on the Proposed EU Directive on Alternative Investment Fund Managers Read More
The Global Derivatives Market - A Blueprint for Market Safety and Integrity Read More
1H 2009 Hedge Fund Update: Halfway There Read More
Report to the Supervisors of the Major OTC Derivatives Dealers on the Proposals of Centralized CDS Clearing Solutions for the Segregation and Portability of Customers CDS Positions and Related Margin Read More
IOSCO Technical Committee's Regulation of Short Selling: Final Report Read More
IOSCO Technical Committee's Hedge Fund Oversight: Final Report Read More
Commission of European Communities Directive of the European Parliament and of the Council on Alternative Investment Fund Managers Read More
Click here to view the Resource Center
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