Description

Market-wide position limits for Nuvama Wealth Management Ltd. stock derivatives revised due to stock split, effective December 26, 2025.

Summary

BSE has revised the Market-Wide Position Limits (MWPL) for stock derivatives contracts of Nuvama Wealth Management Ltd. (Scrip Code: 543988) following a stock split. The new limits apply to Stock Brokers, Foreign Portfolio Investors (FPIs) Categories I & II, and Mutual Funds. This revision is in partial modification of circular no. 20231229-46 dated December 29, 2023, and follows notice no. 20250919-27 dated September 19, 2025.

Key Points

  • Market-wide limit revised to 1,22,23,323 shares (122.23 lakh shares)
  • Client/NRI/Scheme of Mutual Fund limit: 12,22,125 shares
  • TM Proprietary limit: 24,44,625 shares
  • TM (Proprietary+Client)/FPI(Cat I)/MF limit: 36,66,750 shares
  • Revision triggered by stock split in Nuvama Wealth Management Ltd.
  • Applies to derivatives segment only

Regulatory Changes

This circular partially modifies the position limit framework established in circular no. 20231229-46 dated December 29, 2023. The revised limits reflect adjusted position sizes post-stock split to maintain proportional risk exposure levels.

Compliance Requirements

  • Stock Brokers must adhere to revised position limits for Nuvama derivatives
  • Foreign Portfolio Investors (Categories I & II) must comply with new limits
  • Mutual Funds must ensure positions do not exceed specified thresholds
  • Trading Members must monitor both proprietary and client positions
  • For clarifications, contact ICCL Risk Monitoring team:

Important Dates

  • Notice Date: December 24, 2025
  • Effective Date: December 26, 2025
  • Reference Circular: September 19, 2025 (Notice No. 20250919-27)
  • Modified Circular: December 29, 2023 (Circular No. 20231229-46)

Impact Assessment

Market Impact: Medium - The revision affects trading and position management for all market participants dealing in Nuvama Wealth Management derivatives. The stock split necessitates proportional adjustment of position limits to maintain equivalent exposure controls.

Operational Impact: Medium - Brokers, FPIs, and Mutual Funds must update their risk management systems and position monitoring tools to reflect the new limits. Trading Members need to ensure compliance across both proprietary and client accounts.

Risk Management: The revised limits maintain the integrity of risk controls post-corporate action, ensuring that market-wide exposure levels remain appropriate relative to the increased number of shares outstanding.

Impact Justification

Affects position limits for a specific stock due to corporate action (stock split). Important for traders and brokers dealing in Nuvama derivatives but limited to one scrip.