BaFin shorting ban may contain loopholes for investors
German restrictions on short-selling of governments, CDS and financials may not be as bad as feared.
The short-selling ban announced on May 18 by the German securities regulator, BaFin, may be narrower in scope than many market participants initially feared, with certain areas of the market excluded from the regulations.
The decree prohibits the naked short-selling of eurozone government bonds, credit default swaps on those bonds and 10 German financial stocks.
And while the decision caused widespread condemnation from market makers, prompting some to temporarily shut their sovereign trading
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