Description

BSE announces changes to Long Term ASM Framework effective October 21, 2025, including 5 new securities shortlisted, 3 securities moved to higher ASM stages, and 1 security moved out of the framework.

Summary

BSE has issued updates to the Long Term Additional Surveillance Measure (LT-ASM) Framework effective October 21, 2025. The circular identifies 5 new securities entering the LT-ASM framework, 3 securities being moved to higher ASM stages (Stage II), and 1 security exiting the framework due to inclusion in the ESM Framework. The LT-ASM is a surveillance mechanism designed to alert investors about securities with abnormal price movements or other concerning market behavior.

Key Points

  • 5 securities newly shortlisted in Long Term ASM Framework: Bits Ltd, Croissance Ltd, Parshva Enterprises Ltd, Richfield Financial Services Ltd, and Trescon Ltd
  • 3 securities moved to higher ASM Stage II: Krishna Capital and Securities Ltd, Rajeshwari Cans Ltd, and Softrak Venture Investment Ltd
  • 1 security moved out of LT-ASM Framework: Gujarat Raffia Industries Ltd (moved to ESM Framework)
  • No securities moved to lower ASM stages
  • No securities shortlisted in Direct Stage IV LT-ASM
  • Changes effective from October 21, 2025

Regulatory Changes

The LT-ASM Framework continues to operate as a graded surveillance measure with multiple stages (I, II, III, IV) that impose progressively stricter trading conditions on securities exhibiting unusual price behavior or market characteristics. Securities in higher stages face more stringent monitoring and trading restrictions.

Compliance Requirements

  • Market participants must be aware of the surveillance status of affected securities
  • Trading in securities under LT-ASM may be subject to additional margin requirements and surveillance measures
  • Investors should exercise caution when trading in securities under ASM framework
  • Brokers must inform clients about the ASM status of securities before execution of trades

Important Dates

  • October 21, 2025: Effective date for all LT-ASM framework changes

Impact Assessment

Market Impact: Medium - The changes affect 9 securities with limited overall market impact. However, for investors and traders in these specific stocks, the surveillance measures will affect trading conditions, liquidity, and margin requirements.

Operational Impact: Securities moved to higher ASM stages will face stricter surveillance including higher margin requirements and potential trading restrictions. Gujarat Raffia Industries Ltd’s move to ESM Framework indicates more serious concerns requiring enhanced surveillance.

Investor Impact: Investors holding or trading these securities should be aware of increased scrutiny and potential trading limitations. The ASM framework serves as an early warning system for abnormal market behavior.

Impact Justification

Affects trading conditions for 9 securities through ASM framework changes, with moderate market impact limited to specific stocks under surveillance