Short rules

Discussion in 'ETFs' started by MoonWalker99, Mar 3, 2011.

  1. Hello ETF forums.

    I have simple questions: Are any shorting rules on ETFs.
    Investopedia says that ETF are exempt from uptick regulations.
    http://www.investopedia.com/ask/answers/06/uptickruleETFs.asp

    Does that mean All ETFs (about 1000 of them) are exempt?

    Is there anything that I am missing?

    Thank you for feedback
     
  2. The uptick rule is currently not active. All shortable ETF's (many are hard to locate) and shortable stocks can currently be shorted after a downtick.
     
  3. monstimal

    Thanks for reply. But currently there are definitely some rules for stocks that are down over 10% on a day. Either way I do not care about stocks. I wanted to ask around about ETFs since I know different rules apply to etfs
     
  4. MoonWalker99

    You asked about the uptick rule. I told you the answer.

    Many ETFs are currently subjected to the Single Stock Circuit Breaker rules but some are not.
    For example, here are some that are:

    http://sec.gov/rules/sro/nasdaq/2010/34-62414-ex3.pdf

    As far as your other question, the answer is yes.