Description

BSE announces inclusion of securities under ST-ASM Stage I and Stage II with enhanced margin requirements of 50% and 100% respectively, effective April 24, 2026.

Summary

BSE has announced the inclusion of specified securities under the Short-Term Additional Surveillance Measure (ST-ASM) framework under Stage I and Stage II. Enhanced margin requirements will apply from April 24, 2026, on both existing open positions and new positions. The circular references the revised ASM framework established through multiple prior notices dating back to 2018.

Key Points

  • Securities meeting ST-ASM Stage I criteria will attract a minimum margin of 50% or existing margin, whichever is higher, capped at 100%
  • Securities meeting ST-ASM Stage II criteria will attract a minimum margin of 100% or existing margin, whichever is higher, capped at 100%
  • The ASM framework operates in conjunction with all other prevailing surveillance measures
  • Shortlisting under ASM is purely a surveillance action and should not be construed as adverse action against the company
  • Upon exit from the framework, the price band will be reinstated to the pre-ASM level, unless the scrip is under another surveillance measure
  • The full list of affected securities is provided in Annexure I attached to the notice

Regulatory Changes

This notice continues the revised ASM framework established under notice no. 20240920-71 (September 20, 2024), with roots in the original framework notices from 2018, 2019, 2020, 2023, and 2024. No new framework changes are introduced; this circular applies existing ST-ASM provisions to newly qualifying securities.

Compliance Requirements

  • Trading members must ensure applicable margin rates are collected on all open positions as on April 23, 2026, and on new positions from April 24, 2026
  • Members should review Annexure I to identify affected securities
  • For clarifications, members may contact BSE Surveillance at bse.surv@bseindia.com

Important Dates

  • April 22, 2026: Notice issued
  • April 23, 2026: Reference date for existing open positions subject to enhanced margins
  • April 24, 2026: Enhanced margin requirements become effective for both open and new positions

Impact Assessment

Traders and investors holding positions in the shortlisted securities will face significantly higher margin obligations — up to 100% of position value — which may force position reductions or increased capital deployment. Stage II securities are subject to the maximum 100% margin, effectively requiring full cash backing for positions. The framework is designed to deter excessive speculation in volatile or surveillance-flagged scrips. The price band reinstatement provision upon exit provides clarity on post-ASM treatment of affected scrips.

Impact Justification

Directly imposes enhanced margin requirements (50%-100%) on affected securities effective April 24, 2026, significantly impacting trading costs and positions for market participants holding or trading shortlisted scrips.