The ban on the covered short-selling of financial stocks will be lifted today, five days before the scheduled expiry date.
ASIC imposed the ban eight months ago, in an effort to curb the market volatility prevalent in the wake of the Lehman Brothers collapse. But today the regulator has announced the conditions are favourable for a return to covered short sales.
The ban on covered short selling of most non-financial securities was lifted in November.
To read ASIC s statement, click here.
To find out more about using covered calls as part of your trading strategy, visit the Trader Dealer website.
Tags: ASIC, covered call, finance news, options trading, short sell, Trading Strategies
