On 24 February 2016, the Securities and Futures Commission (SFC) published conclusions to its consultation released in late November 2015 to expand the scope of short position reporting under the Securities and Futures (Short Position Reporting) Rules (SPR Rules).
After considering market feedback which was generally supportive of the proposals, the SFC has concluded to adopt them, and will proceed to submit the corresponding amendments to the SPR Rules to the Legislative Council for negative vetting.
The proposed changes to the existing short position reporting regime include:
To give the market reasonable lead time for preparation, the SFC plans for the amended rules to come into effect on 15 March 2017, subject to the legislative process.
The SFC will make further announcements regarding operational reporting arrangements for the expanded regime and provide additional FAQs in due course.
The consultation conclusions paper is available here.