All short positions, including naked short positions created as part of bona fide market making activities, should be created on a lit exchange and reported in their entirety. The term "bona fide market making activity" should be defined by the regulator very specifically. The purpose of creating a naked short position in market making is to give an IOU for that share, and then to
Here are some examples on how the system could be improved: 1. Reduce the reporting period to weekly (or preferably daily) from biweekly. 2. Require that exchanges report failures to deliver and naked shorts alongside covered shorts. 3. Reduce the holding period for reported days from 4 days to 2 or fewer. 4. Document and release the identities of funds that have open short positions and
Make them report their short interest and any changes in that short interest!
FINRA 21-19 is a long overdue change. It is clear that the integrity of the United States market has been strained to the edge of disaster, in large part due to systemic risk developed under the regulatory authority of FINRA's outdated short interest reporting policy. While many of the policies mentioned in Regulatory Notice 21-19 address the general breadth of exploitable and ineffective
FINRA 21-19 is a long overdue change. It is clear that the integrity of the United States market has been strained to the edge of disaster, in large part due to systemic risk developed under the regulatory authority of FINRA's outdated short interest reporting policy. While many of the policies mentioned in Regulatory Notice 21-19 address the general breadth of exploitable and ineffective
FINRA’s National Cause and Financial Crimes Detection (NCFC) Cyber and Analytics Unit (CAU) has noted a recent alert issued by Microsoft on May 30, 2022.
The Microsoft alert describes a remote code execution vulnerability, named “Follina” by security analysts, related to the Microsoft Support Diagnostic Tool (MSDT) that can be used by a threat actor to run malicious code. As a result, a threat
Hi, Having the ability to hedge my retirement funds is essential when there is high volatility in a high volatile world. The easiest way to do this is with a leveraged inverse ETF of the SP500 or Nasdaq. The drift risk in a leveraged inverse ETF is a lot les risky compared to options trading or short selling to hedge a portfolio. Options are complicated, expensive and short-term forms of
I would like to see better enforcement of the short sale rule (SSR). There have been days where the SSR was triggered on AMC but then the next day I’ve seen multiple red candles following red candles and that goes to show that the SSR rule is not in fact being enforced because you can only short on upticks (green candles) and not continue shorting on downticks.
As a retail investor it would be nice to see increased transparency from financial institutions. No more naked shorts, or at least increased naked short share exposure, decreased use of Dark Pool trading, required reporting from every institution on their positions (short and long) to organizations such as FINRA or Ortex etc, and forced coverage of FTDs when they are due. All of these are
FINRA is publishing its quarterly OTC Equities High Price Dissemination List for the fourth quarter of 2022. This updated list of OTC equity securities eligible for trade report dissemination for trades of fewer than 100 shares is effective as of April 10, 2023. To view changes, visit the Daily List: Security Attribute Changes page, select the “Unit of Trades” filter and enter April 6, 2023 as
