Description

BSE circular announcing securities being added to, moved within, or removed from the Long Term Additional Surveillance Measure (LT-ASM) framework effective November 14, 2025.

Summary

BSE has announced changes to the Long Term Additional Surveillance Measure (LT-ASM) framework effective November 14, 2025. Five new securities have been shortlisted into the LT-ASM framework, two securities will move to higher ASM stages, and one security (Switching Technologies Gunther Ltd) will exit the framework due to inclusion in the ESM Framework. The circular also provides a consolidated list of securities currently under various ASM stages.

Key Points

  • 5 new securities added to Long Term ASM Framework: Beryl Securities Ltd, Concord Drugs Ltd, S V Global Mill Ltd, Samsrita Labs Ltd, and Swati Projects Ltd
  • 2 securities moving to higher ASM Stage II: Starlineps Enterprises Ltd and VTM Ltd
  • 1 security (Switching Technologies Gunther Ltd) exiting LT-ASM due to inclusion in ESM Framework
  • No securities moving to lower ASM stages
  • No securities being directly placed in Stage IV Long Term ASM
  • Changes effective from November 14, 2025

Regulatory Changes

The LT-ASM framework is a surveillance mechanism applied to securities that exhibit abnormal price movements or trading patterns over an extended period. Securities under this framework face:

  • Higher surveillance scrutiny
  • Potential trading restrictions
  • Stage-wise progression based on continued concerns
  • Additional margin requirements for traders

Compliance Requirements

  • Market participants must be aware of securities entering or moving within the LT-ASM framework
  • Enhanced due diligence required for trading in LT-ASM securities
  • Brokers should ensure clients are informed about surveillance measures applicable to these securities
  • Compliance with applicable margin requirements for LT-ASM securities
  • Securities moved to higher stages face stricter trading conditions

Important Dates

  • Effective Date: November 14, 2025 - All changes to LT-ASM framework become applicable

Impact Assessment

Market Impact: High - The inclusion of securities in LT-ASM framework significantly affects their liquidity and trading activity. Securities in this framework typically experience reduced trading volumes due to additional restrictions and margin requirements.

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

  • Increased margin requirements
  • Reduced liquidity
  • Higher transaction costs
  • Trading restrictions depending on ASM stage

Affected Securities: The 5 newly included securities and 2 securities moving to higher stages will see immediate impact on trading patterns. The exit of Switching Technologies Gunther Ltd to ESM Framework indicates more severe surveillance concerns.

Operational Impact: Brokers and trading members must update their systems to reflect the new surveillance classifications and ensure proper risk management for these securities.

Impact Justification

Significant surveillance measure affecting multiple securities with trading restrictions and stage movements that impact investor participation and liquidity