Description
BSE announces revised price bands for 27 scrips ranging from 2% to 20%, effective from October 16, 2025, impacting trading limits and volatility controls.
Summary
BSE has revised the price bands for 27 equity securities effective from October 16, 2025. The price bands range from 2% (most restrictive) to 20% (less restrictive), representing changes from existing levels. This revision impacts the maximum allowable price movement for these scrips during trading sessions and reflects BSE’s surveillance assessment of volatility and trading patterns.
Key Points
- Price band revisions effective from October 16, 2025
- 27 scrips affected with bands ranging from 2% to 20%
- Two scrips (Magnus Steel and Infra Ltd, Mahaveer Infoway Ltd) assigned the most restrictive 2% band
- Five scrips (BMW Ventures Ltd, Justo Realfintech Ltd, Praruh Technologies Ltd, Solvex Edibles Ltd, Systematic Industries Ltd) assigned 20% band
- Majority of scrips (15 securities) assigned 5% price band
- Four scrips assigned 10% band (Deep Diamond India Ltd, GM Breweries Ltd, Travels & Rentals Ltd, Mizzen Ventures Ltd)
- Notice issued by BSE Surveillance Department
- Clarifications can be directed to bse.surv@bseindia.com
Regulatory Changes
This circular represents an operational adjustment to existing price band frameworks under BSE’s surveillance mechanisms. Price bands are dynamic controls that limit daily price movements to prevent excessive volatility and protect investors. The revision indicates BSE’s continuous monitoring and adjustment of these controls based on market behavior, liquidity, and volatility patterns of individual securities.
Compliance Requirements
- Trading Members: Must update their trading systems to reflect new price bands effective October 16, 2025
- Risk Management Systems: Must incorporate revised price band limits for order validation and risk controls
- Investors: Should be aware that orders placed outside the revised price bands will be rejected
- Market Surveillance Teams: Must monitor trading activity within new band parameters
Important Dates
- Notice Date: October 15, 2025
- Effective Date: October 16, 2025
- Trading members must ensure compliance from market opening on the effective date
Impact Assessment
Market Impact: The revision affects trading flexibility across 27 securities. Tighter bands (2%) on 2 scrips significantly restrict intraday price movement, potentially impacting liquidity and making it harder for prices to discover true market levels. Wider bands (20%) on 5 scrips allow greater price discovery but may increase volatility risk.
Operational Impact: Trading members must update systems overnight to prevent order rejections. Algorithmic trading strategies and automated systems need recalibration for affected securities.
Investor Impact: Investors in these securities will experience different levels of price movement constraints. Those holding scrips with tighter bands may face reduced liquidity, while those with wider bands may experience increased volatility. Investors should adjust their order placement strategies accordingly.
Surveillance Rationale: The varying band levels suggest BSE has classified these securities into different risk categories, with tighter bands likely indicating concerns about volatility, liquidity, or market integrity issues.
Impact Justification
Affects 27 securities with significant price band adjustments. While individual stocks may have limited liquidity, the collective impact on surveillance measures and trading flexibility is notable for investors and traders in these scrips.