SEC adopts Dodd-Frank rule for short sale transparency

The Securities and Exchange Commission (SEC) continued its push to get across the finish line the remaining provisions of the Dodd-Frank Act with the adoption of a new rule for institutional investment managers to provide greater transparency regarding short sale data.

The final rule, announced Friday, is designed to increase the public availability of short sale-related data. The reporting requirements will be included in Form SHO filings.

Completing implementation of Dodd-Frank was one of the stated goals of SEC Chair Gary Gensler upon the start of his tenure. The agency has chipped away at the remaining provisions of the 2010 law over the last two years, including rules passed this summer to prohibit the manipulation of chief compliance officers at security-based swaps. Proposals on other areas of the law, including conflicts in securities trading, remain pending.

lock iconTHIS IS MEMBERS-ONLY CONTENT. To continue reading, choose one of the options below.