Short rules

MoonWalker99 · Mar 3, 2011

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

monstimal · Mar 3, 2011

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.

MoonWalker99 · Mar 3, 2011

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

monstimal · Mar 4, 2011

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.