ASIC has announced the rules to apply if it lifts the ban on covered short selling of non-financial stocks from 19 November 2008. If the ban is partially lifted on 19 November as expected, there will be an increased focus on disclosure and reporting of covered short sales and ensuring a covered short seller has a presently exercisable and unconditional right to vest the securities in the buyer.

The ban in relation to covered short selling of financial stocks is to remain in place.