PSE says short selling program to start on Nov. 6

The Philippines will from Nov. 6 start allowing short-selling, a practice that seeks to profit off bets on a stock falling, two weeks behind the initial target, the bourse operator said on Friday.

The launch of the short selling program was extended to give market participants more time to prepare, the Philippine Stock Exchange (PSE) said.

“The ability to take short positions will provide investors a tool to hedge their investments, which hopefully will help attract foreign investors back to our market,” PSE president and CEO Ramon S. Monzon said in a statement.

It will also generate increased trading activity, he added. — Reuters