LONDON, September 19 /PRNewswire/ -- Data Explorers are announcing today a new monitoring service (http://www.dataexplorers.com/rsm) covering all stocks with short selling restrictions recently applied by the SEC and FSA. These stocks now require specific regulatory filings and Data Explorers will combine these with their extensive global short side intelligence database.
Data Explorers has been providing transparency to the Securities Lending industry for the past 6 years. The company delivers unique data provided directly by the Securities Lending market participants. As short selling information becomes increasingly public, Data Explorers will integrate it with their proprietary data to provide increasing transparency in this large and important market.
Data Explorers are the world leader in the provision of securities lending data, with a database containing more than US$13 trillion dollars of loans and lendable assets in over 235,000 equities and fixed income instruments held in 22,000 funds worldwide. They complement their data with information from a variety of sources, including publicly available short interest positions. Their data is high quality, high frequency and a good proxy for public short interest data, and extends to every facet of securities lending.
The new regulations make pre-borrowing essential; Data Explorers show the depth of borrowing inventory available for each stock. Proprietary Data Explorers statistics, such as Utilisation*, are valuable and timely indicators of stock lending and short selling market depth. As a result of the new regulations, the company will be developing further indicators to help market participants fine tune their lending programs and assist in regulatory compliance.
Following recent financial turmoil, regulators in a number of countries have announced strict new rules governing short selling of equities.
In the US, there is an outright ban on naked short selling across all US listed securities. Covered short selling has been banned for 799 financial stocks. The reporting requirement for short positions has been changed from a fortnightly snapshot to a weekly disclosure of daily positions.
In the UK, there is a four-month outright ban on all short selling in 29 named financial stocks. This ban extends to 'related' securities including structured OTC positions and spread bets.
Similar restrictions have been announced in Switzerland, Australia, Ireland and Russia. Other countries are likely to announce their own changes in regulations.
Notes to Editors:
About Data Explorers
Data Explorers is a privately owned financial data and software company headquartered in London. The company provides financial benchmarking information to the Securities Financing Industry and short-side intelligence to the Investment Management community.
Data Explorers offers access to proprietary data for the quantitative measurement of securities lending, performance and risk. Additionally Data Explorers provides short side intelligence, based on stock lending data, to Hedge Funds and Investment Managers.
The company is based in New York and London and collects data from market participants including Lenders, Beneficial Owners, Custodian Banks, Broker Dealers and buy-side Borrowers.
*Utilisation: this is the value of the stock actually on loan as a proportion of the stock that is available to borrow. Stocks are borrowed for a number of reasons although short selling is the main element.
Contacts: London Jessica Johnson +44(0)207-264-7615 firstname.lastname@example.org United States Will Duff Gordon +1-212-7102210 Ext 375 email@example.com Kenneth Read +1-212-710-2210 Ext 379 firstname.lastname@example.org
Contacts: London, Jessica Johnson, +44(0)207-264-7615, email@example.com; United States, Will Duff Gordon, +1-212-7102210 Ext 375, firstname.lastname@example.org; Kenneth Read, +1-212-710-2210 Ext 379, email@example.com