May 5, 2011
All the disclosure rules applicable to the long term stock holders of a publicly traded corporation must be applied to the short sellers too. Otherwise the short sellers are unfairly being favored by the regulation system at the cost of long term stock holders.
When long term stock holders buy a stock they also do a research and buy a stock. So, why would short sellers research should be protected by regulators but not protect the long terms holders research? This reasearch argument presented by short seller is nothing but asking to make system that only favors short sellers.
Fair and honest short sellers do not have anything to be afraid of disclosure requirements.