Description

BSE announces additions, movements, and consolidation of securities under the Enhanced Surveillance Measure (ESM) Framework effective November 12, 2025.

Summary

BSE has updated the Enhanced Surveillance Measure (ESM) Framework effective November 12, 2025. Six securities have been newly shortlisted for inclusion in ESM, three securities will move to higher ESM stages, and none will move to lower stages or exit the framework. The circular also provides a consolidated list of 24+ securities currently under various ESM stages.

Key Points

  • 6 securities newly added to ESM Framework: Fone4 Communications (India) Ltd, Ghushine Fintrrade Ocean Ltd, Mafia Trends Ltd, Modern Insulators Ltd, Sunsky Logistics Ltd, and Trade Wings Ltd
  • 3 securities moving to higher ESM stages: Kuberan Global Edu Solutions Ltd, Mahip Industries Ltd, and Raj Packaging Industries Ltd
  • No securities moving to lower ESM stages
  • No securities exiting the ESM Framework
  • Consolidated list includes securities across ESM Stage I and Stage II
  • Framework applies to both main board and SME scrips

Regulatory Changes

The ESM Framework is a surveillance mechanism that applies additional monitoring and trading restrictions to securities exhibiting unusual price movements or volumes. Securities under ESM typically face:

  • Trade-for-trade settlement (no intraday trading)
  • 100% upfront margin requirements
  • Additional disclosure obligations
  • Progressive restrictions as securities move to higher stages

Compliance Requirements

  • Trading members must ensure 100% upfront margin collection for ESM securities
  • Clients should be made aware of ESM status before trading
  • Securities under ESM are subject to trade-for-trade settlement only
  • No intraday leverage or square-off permitted
  • Brokers must implement appropriate risk management controls

Important Dates

  • Effective Date: November 12, 2025 - All ESM changes become applicable

Impact Assessment

Market Impact: Medium - The addition of 6 securities to ESM will restrict intraday trading and require higher margins, potentially reducing liquidity in these scrips. Movement of 3 securities to higher ESM stages indicates continued concern about price/volume patterns.

Investor Impact: Investors holding or trading these securities will face:

  • Reduced liquidity due to trade-for-trade mechanism
  • Higher capital requirements (100% upfront margin)
  • Limited ability to take leveraged positions
  • Potential difficulty in executing large orders

Operational Impact: Brokers and trading members must update their systems to apply ESM restrictions and ensure proper margin collection for affected securities.

Securities Details

Newly Added to ESM (Stage I)

  1. Fone4 Communications (India) Ltd (543521, INE0L3H01014)
  2. Ghushine Fintrrade Ocean Ltd (539864, INE009U01011)
  3. Mafia Trends Ltd (543613, INE0KQQ01011)
  4. Modern Insulators Ltd (515008, INE219W01012)
  5. Sunsky Logistics Ltd (544566, INE10CM01027)
  6. Trade Wings Ltd (509953, INE961E01017)

Moving to Higher ESM Stage

  1. Kuberan Global Edu Solutions Ltd (543289, INE04CO01018)
  2. Mahip Industries Ltd (542503, INE00CX01017)
  3. Raj Packaging Industries Ltd (530111, INE639C01013)

Impact Justification

Affects trading of 6 newly added securities and stage changes for 3 existing securities under ESM framework, impacting liquidity and investor access