The SEC recently announced that it had approved proposed changes to its existing short sale regulations to provide greater transparency both to the regulator and the public. Proposed Rule 13f‑2 would require institutional investors whose short positions exceed specified thresholds to file a monthly report on new Form SHO, which would detail their end-of-month positions and intra-month changes to those positions. The SEC would then aggregate and publish the reported data each month. The rule proposal also covers a new requirement for marking “buy to cover” orders and certain amendments to Consolidated Audit Trail (CAT) reporting. This article analyzes the SEC’s proposal, which consists of new Rule 13f‑2, new Form SHO, new Rule 205 and amendments to CAT reporting. See “Fireside Chat With SEC Chair Gensler: Reporting; Voting and Proxies; Individual Accountability; and Market Structure Issues (Part Two of Two)” (Dec. 2, 2021).