In regard to the Financial Services Commission’s announcement to ban stock short selling in South Korea, the Pan Asian Securities Lending Association (PASLA) said in a statement:
“We regret the Financial Services Commission’s announcement to reimpose a full ban on short-selling in South Korea. There is never any place for illegal, naked short-selling. PASLA is fully committed to promoting open, transparent and regulated securities lending, which is a prerequisite for covered short-selling, across Asia Pacific equity markets.
“We will continue our close engagement with our Korean stakeholders and support the review of the market structure, rules and infrastructure. We look forward to the introduction of a new framework for regulated short selling in the near future.”