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Financial Services Commission “Resume as scheduled for short selling…Intensify punishment for illegal short selling”

[서울=뉴스핌] Reporter Lim Seong-bong = Amid controversy over the resumption of short selling, the financial authorities repeatedly emphasized that the temporary ban on short selling will end on March 14 as planned.

The Financial Services Commission sent a text message to reporters on the afternoon of the 11th, saying, “The temporary ban on short selling that is currently in effect is expected to end on March 15.” We plan to finalize the system improvement, such as improvement and personal short sale accessibility.”

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In recent years, as demands for abolition of short selling emerged mainly from individual investors, the financial authorities have ended the ban on short selling, but started to evolve controversy to prevent side effects by improving the system.

Earlier, the Financial Services Commission announced a plan to improve the operation of the short selling system on December 20 last year. The plan included a ban on short selling in the stock market by market makers of Mini KOSPI 200 futures and options, and establishing a short selling monitoring system so that information related to the bid price of borrowed short selling could be used for market monitoring purposes.

In particular, the Financial Services Commission is considering internally a plan to allow individual investors to sell short. Finance Committee Chairman Eun Seong-soo also said at a press conference held on December 14 last year, “Introducing the regulation of a professional investor in the part of short selling, allowing investors who can take responsibility first, but I think that expanding it will be a compromise.

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