ESMA_QA_1906
13/09/2012
Subject Matter
Shares in funds
    Do shares in funds have to be taken into account when calculating net short positions?
    ESMA Answer
    13-09-2012

      [ESMA70-145-408 SSR Q&A, Q&A 6.1]

      Shares in funds which are managed on a discretionary basis by a management entity are not required to be taken into account since the calculation takes place at fund or fund manager level.

      However, shares in ETFs are within the scope and should be taken into account when calculating net short positions to the extent to which the underlying shares are represented in the ETF.

      Status: Answer Published

      Additional Information

      Level 1 Regulation
      Short Selling Regulation (SSR) Regulation (EU) No 236/2012
      Topic
      Determination of net short position