Description

BSE circular detailing securities shortlisted for Long Term ASM framework, stage movements, and securities exiting the framework effective October 29, 2025.

Summary

BSE has issued updates regarding the Long Term Additional Surveillance Measure (LT-ASM) framework effective October 29, 2025. Three securities have been newly shortlisted under LT-ASM, one security (Megasoft Ltd) is being moved to Stage II ASM, and two securities are exiting the framework due to inclusion in GSM Framework. The circular also provides a consolidated list of all securities currently under various ASM stages.

Key Points

  • 3 new securities shortlisted in Long Term ASM Framework: Mahip Industries Ltd, NMS Resources Global Ltd, and Shubham Polyspin Ltd
  • Megasoft Ltd continues in LT-ASM but moves to Stage II
  • 2 securities moving out of LT-ASM: Binny Mills Ltd and Bombay Talkies Ltd (both due to GSM inclusion)
  • Changes effective from October 29, 2025
  • Consolidated list includes 14+ securities across different ASM stages
  • Part D (Direct Stage IV shortlisting) shows nil entries

Regulatory Changes

The Long Term ASM framework continues BSE’s enhanced surveillance approach for securities exhibiting specific risk characteristics. Securities under this framework face additional trading restrictions including:

  • Enhanced margin requirements
  • Trade-to-trade settlement
  • Price bands and position limits
  • Increased scrutiny of trading patterns

Stage progression indicates escalating surveillance levels based on continued risk factors.

Compliance Requirements

  • Trading members must ensure compliance with ASM stage-specific requirements for affected securities
  • Investors trading in LT-ASM securities must maintain higher margins as prescribed
  • All trades in these securities will be settled on trade-to-trade basis with no netting off
  • Risk management systems must be updated to reflect new ASM classifications
  • Brokers should inform clients about the surveillance status of these securities

Important Dates

  • Effective Date: October 29, 2025 - All changes to LT-ASM framework become applicable
  • Circular Date: October 28, 2025

Impact Assessment

Trading Impact: Securities newly included in LT-ASM will face reduced liquidity due to trade-to-trade settlement and higher margin requirements. Megasoft Ltd moving to Stage II faces even stricter surveillance parameters.

Investor Impact: Existing positions in affected securities will require higher margins. New investors should be aware of enhanced risk profiles and trading restrictions.

Market Impact: The exit of Binny Mills Ltd and Bombay Talkies Ltd from LT-ASM to GSM Framework indicates shifting risk categorization, potentially subjecting them to different surveillance mechanisms.

Operational Impact: Trading members must update risk management systems, margin calculations, and client communications for all affected securities by the effective date.

Impact Justification

Affects trading parameters and investor risk for multiple securities under enhanced surveillance framework with immediate effect