Description
BSE announces additional exposure margin requirements on 14 securities under Market-Wide Position Limit (MWPL) for December 2025.
Summary
BSE has imposed additional exposure margin requirements on 14 securities that are under Market-Wide Position Limit (MWPL) surveillance for December 2025. This measure is designed to manage risk and reduce excessive concentration in these securities.
Key Points
- 14 securities identified for additional exposure margin under MWPL
- Includes major stocks like Aurobindo Pharma, IndusInd Bank, NMDC, SAIL, and Vodafone Idea
- Margin requirements apply across equity cash and derivatives segments
- Surveillance measure to control market-wide positions and reduce systemic risk
Regulatory Changes
Additional exposure margin will be levied on positions in the following 14 securities:
- Aurobindo Pharma Ltd (AUROPHARMA)
- Crompton Greaves Consumer Electricals Ltd (CROMPTON)
- HFCL Limited (HFCL)
- Vodafone Idea Limited (IDEA)
- IndusInd Bank Limited (INDUSINDBK)
- JSW Energy Limited (JSWENERGY)
- LIC Housing Finance Limited (LICHSGFIN)
- NMDC Limited (NMDC)
- Patanjali Foods Limited (PATANJALI)
- Petronet LNG Limited (PETRONET)
- PNB Housing Finance Limited (PNBHOUSING)
- RBL Bank Limited (RBLBANK)
- Steel Authority of India Limited (SAIL)
- Sammaan Capital Limited (SAMMAANCAP)
Compliance Requirements
- Trading members must ensure adequate margin collection from clients holding positions in these securities
- Risk management systems should be updated to reflect enhanced margin requirements
- Participants must maintain sufficient collateral to meet the additional exposure margin obligations
- Clearing members responsible for monitoring and reporting concentrated positions
Important Dates
- Effective Period: December 2025
- Circular Date: December 26, 2025
Impact Assessment
Market Impact: Higher margin requirements will increase the cost of carrying positions in these 14 securities, potentially reducing speculative activity and trading volumes. This may lead to lower liquidity in the affected stocks.
Operational Impact: Trading members and clearing members need to adjust their margin collection and risk management processes. Investors and traders with existing positions may face margin calls requiring additional funds.
Risk Management: The additional exposure margin serves as a prudential measure to limit excessive concentration and reduce potential systemic risk from large positions in securities approaching market-wide position limits.
Impact Justification
Additional exposure margin requirements on 14 securities under MWPL significantly impact trading costs and risk management for market participants holding positions in these stocks