Description
BSE announces 13 securities moving into various stages of Graded Surveillance Measure (GSM) framework, with 9 securities moving to Stage I, 3 to Stage II, and 1 to Stage III.
Summary
BSE has released the updated list of securities moving into different stages of the Graded Surveillance Measure (GSM) framework. A total of 13 securities are being moved to enhanced surveillance stages: 9 securities to Stage I, 3 securities to Stage II, and 1 security to Stage III. The GSM framework applies progressive trading restrictions to securities exhibiting unusual price movements or trading patterns.
Key Points
- 9 securities moving to GSM Stage I: Triliance Polymers, RSC International, Manraj Housing Finance, Polycon International, Hari Govind International, Mega Fin India, Simplex Mills Company, Yaan Enterprises, and Shashank Traders
- 3 securities moving to GSM Stage II: Santosh Fine Fab, Binny Mills, and LCC Infotech (as per NSE)
- 1 security moving to GSM Stage III: Krishna Filament Industries
- Securities marked with special symbols may move to lower GSM stages due to inclusion in ESM Framework (#) or IBC Framework ($)
- LCC Infotech classification is aligned with NSE
Regulatory Changes
The GSM framework implements progressive surveillance measures with increasing levels of restrictions as securities move through stages. Stage I represents the initial surveillance level, Stage II involves enhanced monitoring and trading restrictions, and Stage III applies the most stringent surveillance measures. Securities in higher GSM stages face additional disclosure requirements and trading limitations.
Compliance Requirements
- Trading members must adhere to stage-specific restrictions for each listed security
- Enhanced margin requirements apply to securities in GSM stages
- Investors should be aware of reduced liquidity and increased trading costs for GSM securities
- Market participants must comply with applicable price bands and position limits for GSM securities
Important Dates
- Circular Date: January 12, 2026
- Effective Date: Implementation timeline to be confirmed by BSE
Impact Assessment
Market Impact: The inclusion of 13 securities in GSM stages will result in reduced trading volumes and liquidity for affected stocks. Investors holding these securities may face challenges in executing large orders due to enhanced surveillance measures.
Operational Impact: Trading members must update their risk management systems to account for additional margin requirements and trading restrictions. Surveillance measures aim to protect investors from potentially risky securities while maintaining market integrity.
Investor Impact: Retail and institutional investors should exercise heightened caution when trading GSM securities. Stage progression indicates deteriorating quality parameters or concerning trading patterns that warrant regulatory oversight.
Securities List
Stage I (9 Securities)
- Triliance Polymers Ltd (509046, INE778N01016)
- RSC International Ltd (530179, INE015F01019)
- Manraj Housing Finance Ltd (530537, INE948I01015)
- Polycon International Ltd (531397, INE262C01014)
- Hari Govind International Ltd (531971, INE167F01018)
- Mega Fin India Ltd (532105, INE524D01015)
- Simplex Mills Company Ltd (533018, INE457H01027)
- Yaan Enterprises Ltd (538521, INE969E01010)
- Shashank Traders Ltd (540221, INE508R01018)
Stage II (3 Securities)
- Santosh Fine Fab Ltd (530035, INE612D01018)
- Binny Mills Ltd (535620, INE160L01011)
- LCC Infotech Ltd (532019, INE938A01021) - As per NSE
Stage III (1 Security)
- Krishna Filament Industries Ltd (500248, INE073A01019)
Impact Justification
Affects 13 securities with enhanced surveillance measures that increase trading restrictions progressively across GSM stages, impacting liquidity and investor access