Clifford Chance
New transparency regime for cash-settled derivatives
20 September 2011
For some years now, regulators in Italy and at the European level have focused
on the need for greater transparency for holdings of cash-settled derivative
instruments, mainly because these instruments may be used with an intent to
elude the law. While debate continues in Brussels, CONSOB has taken action
(following in the footsteps of the United Kingdom, France and, most recently,
Germany) to impose a new transparency regime upon holdings of financial
instruments which have as their underlying the shares of listed companies, and
which provide for settlement in cash, by way of amendment of CONSOB
Regulation 11971 of 14 May 1999 (the "Regulation on Issuers").
The new provisions of law will become effective 30 days after Consob resolution
No. 17919 ("Resolution 17919"), which amends the Regulation on Issuers, is
published in the Gazzetta Ufficiale.
