SEBI to allow short selling by institutional investors

New Delhi, Jan 02: SEBI Chairman M Damodran today announced that it will allow institutional investors, both FIIs and domestic players, to short-sell from February 1, 2008.

Speaking on the sideline of a conference, Mr Damodaran told reporters that short selling will be permited to all types of institutional investors, including SEBI registered mutual funds. Reserve Bank of India (RBI) had yesterday allowed SEBI-registered FIIs and sub-accounts of FIIs to short sell, lend and borrow equity shares of Indian companies.

UNI