Description

BSE circular detailing securities being added to, moved within, or removed from the Long Term Additional Surveillance Measure (LT-ASM) framework effective December 05, 2025.

Summary

BSE has issued updates to the Long Term Additional Surveillance Measure (LT-ASM) framework effective December 05, 2025. Four securities are being newly added to LT-ASM, two securities are being moved to higher ASM stages (Stage II), and two securities are moving out of the framework due to inclusion in ESM (Enhanced Surveillance Measure). The circular includes a consolidated list showing securities across different ASM stages (I, II, and IV).

Key Points

  • 4 new securities shortlisted in Long Term ASM Framework: Dhanashree Electronics Ltd, Halder Venture Ltd, Multipurpose Trading & Agencies Ltd, and Yug Decor Ltd
  • 2 securities moved to higher Stage II ASM: Fruition Venture Ltd and Gallops Enterprise Ltd
  • 2 securities moving out of LT-ASM due to ESM inclusion: Olatech Solutions Ltd and GV Films Ltd
  • No securities moved directly to Stage IV or to lower ASM stages
  • Consolidated list includes multiple securities across ASM Stage I, with some marked for T+0 trading based on parent company criteria

Regulatory Changes

Securities placed under LT-ASM framework are subject to enhanced surveillance measures including:

  • Stricter price bands and volatility controls
  • Higher margin requirements for trading
  • Potential restrictions on derivative trading
  • Enhanced disclosure and monitoring requirements
  • Stage-based progression system (Stages I, II, and IV) with increasing restrictions

Securities can move between stages, be removed if conditions improve, or be transferred to other surveillance frameworks (Trade-for-Trade, GSM, ESM, or IBC).

Compliance Requirements

  • Trading members must ensure compliance with LT-ASM trading restrictions on affected securities
  • Enhanced margin collection and settlement obligations for LT-ASM securities
  • Investors trading in LT-ASM securities must be aware of additional surveillance conditions
  • Broker-dealers must implement appropriate risk management controls for these securities
  • Market participants should monitor stage movements as restrictions intensify at higher stages

Important Dates

  • Effective Date: December 05, 2025 - All LT-ASM changes become applicable
  • Changes apply to securities being newly added, moved between stages, or removed from the framework

Impact Assessment

Market Impact: Securities under LT-ASM typically experience reduced liquidity due to enhanced restrictions and increased margin requirements. Investors may find it more difficult to enter or exit positions in these securities.

Trading Impact: Higher stages of ASM (Stage II and Stage IV) impose progressively stricter conditions, potentially including additional price bands, higher margins, or trade-for-trade settlement, which can significantly impact trading activity.

Risk Considerations: Securities in LT-ASM are flagged due to concerns about price volatility, low liquidity, or other risk factors. The movement of Fruition Venture Ltd and Gallops Enterprise Ltd to Stage II indicates heightened surveillance concerns.

Investor Impact: Retail and institutional investors holding these securities should be aware of increased trading costs, reduced liquidity, and potential difficulty in position management. Securities moving out to ESM face even stricter surveillance measures.

Impact Justification

Securities in LT-ASM face enhanced surveillance with trading restrictions including price bands, margin requirements, and settlement conditions that significantly impact liquidity and investor participation