How the Australian Ban on Short Selling During the GFC Affected Market Quality and Volatility
Thomas Henker, Julia Henker, Uwe Helmes
2012 Financial Markets & Corporate Governance Conference, 30 August 2011
We examine the effects of the short selling ban, imposed by Australian regulators in the wake of the global financial crisis, on trading of financial stocks. Unlike other developed markets, where regulators imposed short-selling restrictions for brief periods of time at the height of the financial crisis, the ban on short selling of financial stocks on the Australian Stock Exchange lasted eight months, including both the tumultuous end of 2008 and the calmer period up to May 2009.
PDF (55 pages): How the Australian Ban on Short Selling During the GFC Affected Market Quality and Volatility
Deutsche Bank charged in South Korea over stock rout
BBC News, 22 August 2011
Deutsche Bank’s South Korean brokerage and four of its employees have been charged with illegally manipulating Seoul’s stock market last year.
Korean prosecutors allege the firm earned more than 45bn won ($41.5m; £25m) in unfair trading on 11 November. In a statement, Deutsche Bank denied the charges and said it would defend itself in court.
Seoul’s benchmark share index fell by 48 points, or 2.7%, in the last 10 minutes of trading on 11 November.
Korea’s Financial Services Commission confirmed that about 2.4tn won in sell orders from foreign investors were processed on that day, most of them through Deutsche Bank’s local securities unit. Continue reading “Article: Deutsche Bank charged in South Korea over stock rout”
4 at Deutsche Bank indicted over stock manipulation
Choi He-suk, 21 August 2011
Four employees of Deutsche Bank AG and Deutsche Securities Korea have been indicted on charges of gaining unlawful profits by manipulating stock prices, the Seoul Central District Prosecutors’ Office said Sunday.
Of the four, three work at Deutsche Bank’s Hong Kong branch including one executive. The other is an executive of Deutsche Securities Korea.
The Hong Kong-based individuals have so far refused to comply with the prosecution’s summons. The prosecutors said that if they do not attend the hearing, it plans to request their extradition and to request Interpol’s cooperation if necessary. Continue reading “Article: 4 at Deutsche Bank indicted over stock manipulation”