The ban on short-selling 29 financial stocks should be extended to commercial property, urges the Real Estate Investment Trust Association (Reita).
It is worried the ban could tempt short-sellers to target property shares instead with disastrous consequences for volatility in this sector. Dave Butler, head of external affairs, Reita, comments: “We welcome the FSA’s ban on shorting in the financial sector as this helps bring stability to the markets, which should benefit everyone. We believe that if the same ban was extended to the commercial property and real estate sector, then this could be helpful in addressing the issues of continuing market volatility. “Around 60% of the property industry leaders questioned in our ‘Property ...
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