Home - Versione italiana - Accessible mode - Site map - Contacts and certified e-mail - Privacy - Links -  RSS

Consob - www.consob.it
Consob
Issuers
Intermediaries
Markets
Legal framework
Financial education
Conciliation and Arbitration Chamber

Consob resolution No. 18283 of July 23, 2012

Restrictive measures on short sales of shares of the financial sector

THE ITALIAN COMPANIES AND STOCK EXCHANGE COMMISSION (CONSOB)

Having regard to Law 216 of June 7, 1974, as subsequently amended;

Having regard to Article 74, para. 1 and para. 3, of Legislative Decree No. 58 of February 24, 1998, according to which Consob shall supervise regulated markets with the aim of ensuring the transparency of the markets, the orderly conduct of trading and the protection of investors, by adopting, in cases of necessity and as a matter of urgency, all the measures required for the above-mentioned purposes;

Having regard to Consob Resolution no. 17862 of July 10, 2011, whereby Consob, in order to ensure the orderly conduct of trading and the protection of investors, introduced measures on reporting obligations of net short positions held on shares;

Having regard to Consob Resolution no. 17993 of November 11, 2011, whereby Consob, in order to ensure the orderly conduct of trading and the protection of investors, introduced the prohibition of sale of shares unless supported by the availability by the ordering party, at the moment of the order, of the relevant securities.

Taking into account that the serious turmoil in the financial markets may threaten the stability of the financial system and the protection of investors, and taking into account the exceptional market conditions in the trading sessions of July 2012, characterised by high volatility and significant fall in prices, in particular with reference to the shares of the financial sector;

Considering, in the light of the change of the market conditions, no longer sufficient the prohibition of sale of shares unless supported by the availability by the ordering party, at the moment of the order, of the relevant securities, adopted by the above-mentioned Consob Resolution no.17993;

Taking into account that, in order to ensure the orderly conduct of trading and the protection of investors, it is necessary and extremely urgent to temporarily introduce restrictive measures on short sales of shares of the financial sector;

R E S O L V E S

1. The sale of shares issued by the companies listed in the enclosure, wherever carried out, shall be supported by the ownership and the availability of the relevant securities by the ordering party from the moment of the order up and until the date of the settlement of the transaction.

2. To the purposes of point 1, the availability of securities obtained through securities lending arrangements entered into whatsoever technical form shall not be deemed relevant.

3. The members of the markets shall adopt any measure and caution necessary to ensure the strictest compliance with the abovementioned provisions including when dealing with orders originated from other intermediaries.

4. These provisions shall not apply to the activity carried out, in the exercise of their own functions, by market makers, nor to the activity carried out in the regulated markets in the exercise of their own functions by specialists, as defined in the Rules of the regulated markets organised and managed by Borsa Italiana S.p.A., and by intermediaries acting in the fulfilment of liquidity contracts entered into with the issuer (liquidity providers).

The provisions of this resolution shall take effect from 1.30 p.m. of July 23, 2012 to 6.00 p.m. of July 27, 2012.

This resolution is published on the Consob web-site and Bulletin.

Rome, July 23, 2012

The Chairman
Giuseppe Vegas

Enclosure:

List of companies covered by Resolution no.18283 of July 23, 2012

Azimut Holding

Banca Carige

Banca Finnat

Banca Generali

Banca Ifis

Banca Intermobiliare

Banca Monte Paschi Siena

Banca Popolare Emilia Romagna

Banca Popolare Etruria e Lazio

Banca Popolare Milano

Banca Popolare Sondrio

Banca Profilo

Banco di Desio e Brianza

Banco di Sardegna Risp

Banco Popolare

Cattolica Assicurazioni

Credito Artigiano

Credito Emiliano

Credito Valtellinese

Fondiaria - Sai

Generali

Intesa Sanpaolo

Mediobanca

Mediolanum

Milano Assicurazioni

Ubi Banca

Unicredit

Unipol

Vittoria Assicurazioni

© All rights reserved - Consob - Best viewed at 800x600