Reg SHO: The regulator fined Deutsche Bank Securities Inc. $1.4 million for violating Regulation SHO and short interest reporting rules. Regulation SHO permits firms to track certain trading operations or desks separately through the use of an aggregation unit. The positions of non-U.S. broker dealer affiliates are not to be included. Deutsche Bank, however, has been including the non-U.S. broker dealer affiliates in the aggregation units for 10 years. The firm also improperly reported its short positions on a net rather than gross basis from April 2004 to September 2012 and failed to have the necessary supervisory systems in place.