Description

BSE announces changes to Short Term Additional Surveillance Measure (ST-ASM) framework with securities being added, removed, and moved between stages effective November 21, 2025.

Summary

BSE has announced updates to the Short Term Additional Surveillance Measure (ST-ASM) framework effective November 21, 2025. The circular lists securities being newly added to the ST-ASM framework, securities continuing in the framework but moving to higher or lower stages, and securities being removed from the framework. The ST-ASM framework applies enhanced surveillance and trading restrictions to securities exhibiting abnormal price movements or high volatility over 5/15/30 day periods.

Key Points

  • 8 securities newly shortlisted in Short Term 5/15/30 Days ASM Framework (including Garnet International Ltd, Parmeshwar Metal Ltd, Phaarmasia Ltd, Regal Entertainment & Consultants Ltd, Shanti Educational Initiatives Ltd, Universal Cables Ltd, VL E-Governance & IT Solutions Ltd, VLS Finance Ltd)
  • 2 securities continuing in ST-ASM but moving to higher Stage ASM (AVI Polymers Ltd, Solvex Edibles Ltd)
  • 6 securities moving out of ST-ASM Framework (Danube Industries Ltd moved to ESM, Madhuveer Com 18 Network Ltd, Pace E-Commerce Ventures Ltd, Shiv Texchem Ltd, SK Minerals & Additives Ltd, Supertech Ev Ltd)
  • Multiple SME scrips (marked @) included in the changes
  • Some securities marked with asterisk (*) indicating NSE alignment
  • Consolidated list of all securities currently under ST-ASM provided in Annexure III

Regulatory Changes

The ST-ASM framework continues to operate under existing SEBI guidelines for additional surveillance measures. Securities under this framework face enhanced monitoring and potential trading restrictions including:

  • Increased margin requirements
  • Price bands
  • Periodic call auctions
  • Stage-wise progression (Stage I, Stage II, etc.) based on continued unusual price behavior

Compliance Requirements

  • Trading members must ensure compliance with enhanced margin and settlement requirements for securities under ST-ASM
  • Investors should be aware of applicable trading restrictions on these securities
  • Brokers must inform clients about securities under surveillance measures
  • Settlement obligations must be met within prescribed timelines

Important Dates

  • Effective Date: November 21, 2025 - All changes to ST-ASM framework become applicable

Impact Assessment

Market Impact: The inclusion of securities in ST-ASM framework typically results in reduced liquidity and increased trading costs due to higher margins. Investors holding these securities may face difficulty in executing trades at desired prices.

Operational Impact: Trading members need to update their systems to reflect new margin requirements and trading restrictions. Risk management systems must be adjusted to account for securities moving between different ASM stages.

Investor Impact: Retail and institutional investors holding affected securities should note potential liquidity constraints and increased cost of carry due to higher margins. Securities moving out of ST-ASM (particularly those moved to ESM or other frameworks) may continue to face restrictions under different surveillance mechanisms.

Impact Justification

Routine surveillance measure affecting specific securities with restricted trading implications for listed companies under ASM framework