Description

List of 10 securities moving into their respective GSM stages, including movements to Stages I through IV under BSE's surveillance framework.

Summary

BSE has announced the movement of 10 securities into different stages of the Graded Surveillance Measure (GSM) framework. Three securities are moving to Stage I, one to Stage II, one to Stage III, and five securities are moving to Stage IV, which is the highest surveillance level. The GSM framework is designed to alert investors about securities that have witnessed abnormal price movements or other concerns.

Key Points

  • 3 securities moving to GSM Stage I: Williamson Financial Services Ltd, Jauss Polymers Ltd, Gopal Iron & Steels Company Gujarat Ltd
  • 1 security moving to GSM Stage II: Senthil Infotek Ltd
  • 1 security moving to GSM Stage III: ECS Biztech Ltd
  • 5 securities moving to GSM Stage IV: India Radiators Ltd, Mehta Securities Ltd, Ashoka Refineries Ltd, JPT Securities Ltd, Bharat Textiles & Proofing Industries Ltd
  • Securities may move to lower GSM stages if included in ESM Framework (marked #) or IBC Framework (marked $)
  • GSM stages indicate increasing levels of surveillance and trading restrictions

Regulatory Changes

No new regulatory changes introduced. This circular implements the existing GSM framework as per BSE’s surveillance mechanisms.

Compliance Requirements

  • Investors and market participants should be aware of the enhanced surveillance applicable to these securities
  • Trading in these securities may be subject to additional restrictions based on their GSM stage
  • Higher GSM stages typically involve stricter price bands, reduced position limits, and trade-for-trade settlement
  • Market participants must comply with applicable trading restrictions for each GSM stage

Important Dates

  • Circular Date: November 25, 2025
  • Effective Date: Not explicitly specified, typically effective immediately or next trading session

Impact Assessment

Trading Impact: Securities in higher GSM stages (especially Stage IV) face significant trading restrictions including 100% upfront margin requirements, stricter price bands (typically ±5% or ±2%), and mandatory delivery-based settlement. This reduces liquidity and increases trading costs.

Investor Impact: Retail and institutional investors holding these securities should exercise caution. GSM placement indicates heightened surveillance due to concerns about volatility, corporate governance, or other parameters. Investors may face difficulty in executing large orders due to reduced liquidity.

Market Sentiment: GSM placement generally has a negative impact on market sentiment for affected securities, as it signals regulatory concern and may deter new investors from entering positions.

Compliance Burden: Trading members and brokers must ensure proper risk management and client communication regarding the special conditions applicable to these securities.

Impact Justification

Affects 10 securities with varying levels of surveillance restrictions. GSM placement indicates concerns about price volatility or other market parameters, requiring heightened monitoring and trading restrictions.