Specific disclosure of short positions may go beyond financials

Shorting is not bad per se, at least not normally, the FSA asserts in DP09/1, but it wants more transparency around the practice. Instead of an obligation to disclose aggregate short positions, which would be an expensive proposition, it favours extension of the model it has used for UK financials to all UK stocks. The regulator is undecided on disclosure thresholds and how short positions should be calculated; it would like to see an international consensus emerge before making firm proposals.