Aug. 12, 2023
The proposed SEC rule requiring public reporting of large security-based swap positions is a necessary and beneficial measure to protect the integrity and stability of the financial markets. Security-based swaps are complex and opaque instruments that can be used to hide large naked short positions and to engage in other types of market manipulation. By requiring public disclosure of security-based swap positions, the proposed rule would enhance transparency, accountability and oversight of these transactions, and deter fraud, deception and market manipulation.