Description

BSE announces securities qualifying for ST-ASM Stage I and Stage II with enhanced margin requirements of 50% and 100% respectively, effective May 15, 2026.

Summary

BSE has issued Notice No. 20260513-23 dated May 13, 2026, identifying securities that have satisfied the criteria for inclusion under Short Term Additional Surveillance Measure (ST-ASM) Stage I and Stage II. Enhanced margin requirements will apply from May 15, 2026 on both existing open positions (as of May 14, 2026) and new positions. The full list of affected securities is provided in Annexure I attached to the notice.

Key Points

  • Securities under ST-ASM Stage I will attract a margin of 50% or the existing margin, whichever is higher, capped at a maximum of 100%.
  • Securities under ST-ASM Stage II will attract a margin of 100% or the existing margin, whichever is higher, capped at 100%.
  • Both Stage I and Stage II margin requirements are effective from May 15, 2026.
  • The enhanced margins apply to all open positions as on May 14, 2026, and all new positions created from May 15, 2026.
  • ASM framework operates in conjunction with all other prevailing surveillance measures imposed by the exchanges.
  • Shortlisting under ASM is purely for market surveillance purposes and should not be construed as an adverse action against the concerned company or entity.
  • Upon exit from the framework, the price band of a scrip will be reinstated to the band applicable before its shortlisting, provided it is not part of any other surveillance measure.

Regulatory Changes

This notice is issued further to Exchange notices:

  • 20240920-71 dated September 20, 2024
  • 20181027-1 dated October 27, 2018
  • 20190719-33 dated July 19, 2019
  • 20201204-56 dated December 4, 2020
  • 20230925-49 dated September 25, 2023
  • 20240920-63 dated September 20, 2024

All of the above relate to revisions of the ASM framework. This notice applies those provisions to newly shortlisted securities.

Compliance Requirements

  • Members (brokers/trading members) must ensure that the applicable margin rates are collected from clients holding positions in ST-ASM Stage I and Stage II securities.
  • Margins must be applied to all open positions as on May 14, 2026, and on new positions from May 15, 2026.
  • Members should refer to Annexure I for the complete list of shortlisted securities.
  • For clarifications, members may write to bse.surv@bseindia.com.

Important Dates

  • May 13, 2026: Notice issued by BSE.
  • May 14, 2026: Reference date for existing open positions subject to enhanced margins.
  • May 15, 2026: Effective date for enhanced margin requirements for both Stage I and Stage II securities.

Impact Assessment

The enhanced margin requirements under ST-ASM will increase the cost of holding or creating positions in the shortlisted securities, potentially reducing liquidity and speculative activity in these scrips. Stage II securities face the maximum 100% margin, effectively requiring full cash cover for positions. Market participants holding large positions in affected securities may face margin calls or be compelled to reduce exposure. The price band reinstatement provision on exit from the framework provides a structured off-ramp for securities that subsequently meet de-listing criteria from the ASM. Overall impact is moderate and limited to the specific securities listed in Annexure I.

Impact Justification

Routine surveillance measure affecting select securities with margin hikes; no systemic market-wide impact but significant for holders of shortlisted scrips facing higher margin obligations from May 15, 2026.