The below business cases apply in the circumstances where the Investment Firm is short selling [As defined in Article 2(1)(b) of Regulation (EU) No. 236/2012.] reportable shares or sovereign debt within the scope of Articles 12, 13 and 17 of Regulation (EU) No. 236/2012 either on own account or on behalf of a client.The Investment Firm should request the client to disclose whether it is selling short.
Where the short selling information is not made available to the Investment Firm by the client, the Field 62 should be populated with ‘UNDI’.
The short selling flag applies to the reports showing the transactions with the individual clients rather than to the aggregated market transaction report. Therefore, where both clients or one of the clients is short selling, the short selling indicator should be blank in the aggregated market transaction report since this report does not relate to a single client but instead to all clients whose orders have been aggregated.
For instances
…