Short Selling

[Star]

There are two terms of the stock market.

Blank sale

“Blank Sale” means “a sale by a party that does not own shares or the sale does
not constitute a sale with pre-existing interest or is a sale by a party that has not
entered into a contractual borrowing arrangement to meet delivery requirements”.

Short sale

"Short Sale" means a sale by a Member, on his Proprietary Account or on Client’s
Account, not owning securities at the time of sale or the sale without constituting
a Pre-Existing Interest but is a sale on Proprietary Account or Client’s Account
entered into on the basis of Prior Contractual Borrowing Arrangement to meet
delivery requirements on the settlement date.

For detail follow the link

http//www.kse.com.pk/kseregulations/index.php

You will find following document, study and enjoy..............

• Short selling, 2002
  
  Regards,
  
  *