Description

BSE updates the list of securities under Long Term ASM Framework with additions, movements between stages, and exits effective December 22, 2025.

Summary

BSE has issued an updated list of securities under the Long Term Additional Surveillance Measure (LT-ASM) Framework effective December 22, 2025. The circular identifies 8 securities newly entering the framework, 1 security moving to higher stage surveillance, 5 securities moving to lower stages, and 22 securities exiting the framework entirely.

Key Points

  • 8 securities newly shortlisted in Long Term ASM Framework (Part A)
  • 1 security (Bharat Global Developers Ltd) moving from current stage to Stage II
  • 5 securities moving to lower surveillance Stage I, including KIOCL Ltd and Droneacharya Aerial Innovations Ltd
  • 22 securities moving out of Long Term ASM Framework, including Wardwizard, MIC Electronics Ltd, and Moschip Technologies Ltd
  • No securities shortlisted for Direct Stage IV under notice no.20210604-41
  • Changes effective from December 22, 2025

Regulatory Changes

The Long Term ASM Framework is a surveillance measure implemented by BSE to monitor securities that exhibit abnormal price movements or other concerning characteristics. Securities under this framework are subject to enhanced surveillance and may have trading restrictions such as:

  • Trade-for-trade settlement (no intraday trading)
  • Higher margin requirements
  • Price bands or other trading limitations

The framework operates in multiple stages (I, II, III, IV) with increasing levels of restrictions at higher stages.

Compliance Requirements

  • Market participants must be aware of the surveillance status of securities before trading
  • Securities in LT-ASM are subject to 100% upfront margin requirements
  • No intraday trading is permitted for securities under ASM
  • Brokers must ensure clients are informed about ASM-listed securities
  • Additional due diligence required for trades in these securities

Important Dates

  • Effective Date: December 22, 2025 - All changes to LT-ASM framework become applicable

Impact Assessment

For Securities Entering LT-ASM (8 stocks): These securities will face stricter trading conditions including mandatory delivery-based trading and higher margins, which typically reduces liquidity and trading volumes.

For Securities Moving to Higher Stage (1 stock): Bharat Global Developers Ltd moving to Stage II faces enhanced surveillance with potentially stricter price bands and monitoring.

For Securities Moving to Lower Stage (5 stocks): Slight easing of restrictions, indicating improved trading behavior or compliance with market norms.

For Securities Exiting LT-ASM (22 stocks): Positive development allowing normal trading conditions to resume, likely improving liquidity and reducing trading costs for investors.

Market Impact: Limited systemic impact as these are primarily small and mid-cap securities with relatively lower trading volumes. However, investors holding these specific stocks should review their positions and understand the changed trading conditions.

Impact Justification

Affects trading conditions for 35+ securities through surveillance framework changes. Significant for investors in these stocks but limited broader market impact.