Short Selling Consistency in South Africa

Document Type

Book Chapter

Faculty

Faculty of Business and Law

School

School of Accounting, Finance and Economics

RAS ID

12923

Comments

Allen, D. E., Powell, R. , & Singh, A. (2011). Short Selling Consistency in South Africa. In G.N. Gregoriou (Eds.). Handbook of Short Selling (pp. 381-386). Location: Elsevier. Available here

Abstract

Throughout the global financial crisis (GFC), South Africa managed to maintain a consistent approach to short selling activity, thus minimizing trading disruption. That this was possible is largely attributed to a strong regulatory framework, as well as the rules, risk management systems, and surveillance capabilities of the Johannesburg Stock Exchange. This chapte explores environmental and regulatory factors that differentiated short selling activity in South Africa from global counterparts both prior to and during the GFC. The impact on South African share prices of short selling bans in global markets is also examined.

DOI

10.1016/B978-0-12-387724-6.00026-X

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Link to publisher version (DOI)

10.1016/B978-0-12-387724-6.00026-X