Description

BSE announces changes to Long Term Additional Surveillance Measure framework with securities moving in, out, and between different surveillance stages effective September 1, 2025.

Summary

BSE has updated the Long Term Additional Surveillance Measure (LT-ASM) framework effective September 1, 2025. The circular details securities being newly included in LT-ASM, securities moving between different ASM stages, and securities exiting the framework. The changes affect 26 securities across various surveillance categories.

Key Points

  • 5 securities newly shortlisted for Long Term ASM Framework
  • 2 securities moved to higher ASM stages (Bharat Global Developers to Stage III, Cargosol Logistics to Stage II)
  • 5 securities moved to lower ASM stages (all moved to Stage I)
  • 9 securities removed from Long Term ASM Framework
  • No securities directly placed in Stage IV Long Term ASM
  • Changes effective from September 1, 2025

Regulatory Changes

  • Implementation of revised Long Term Additional Surveillance Measure framework
  • Updated categorization of securities under different ASM stages
  • Enhanced surveillance measures for identified securities
  • Removal of certain securities due to inclusion in other frameworks (Trade for Trade, GSM, ESM, IBC)

Compliance Requirements

  • Market participants must comply with enhanced surveillance requirements for securities in LT-ASM
  • Trading members need to ensure adherence to specific trading conditions for affected securities
  • Brokers must inform clients about securities under surveillance measures
  • Compliance with margin and settlement requirements for ASM securities

Important Dates

  • September 1, 2025: Effective date for all LT-ASM framework changes
  • All securities movements between stages become applicable from this date

Impact Assessment

Market Impact: Medium - affects trading liquidity and investor participation for 26 securities across different market segments. Securities under higher ASM stages face additional trading restrictions which may impact price discovery and volumes.

Operational Impact: Trading systems and risk management frameworks need updates to accommodate new surveillance categories and stage movements. Brokers must update client communication and risk monitoring systems for affected securities.

Impact Justification

Affects trading surveillance for multiple securities with stage changes and new inclusions/exclusions in surveillance framework