Description

BSE imposes 100% margins under the Long Term Additional Surveillance Measure (LT-ASM) framework effective May 21, 2026, with securities moving to higher stages and some exiting the framework effective May 19, 2026.

Summary

BSE has issued a notice regarding the Long Term Additional Surveillance Measure (LT-ASM) framework, imposing 100% margins on specified securities effective May 21, 2026. Additionally, certain securities are being moved to higher LT-ASM stages and others are exiting the framework effective May 19, 2026. The framework applies in conjunction with all other prevailing surveillance measures.

Key Points

  • 100% margins will be applicable from May 21, 2026 on all open positions as of May 20, 2026 and new positions created from May 21, 2026 onwards (Annexure I, Part A)
  • Securities moving to higher LT-ASM stages are effective May 19, 2026 (Annexure I, Part B)
  • Lower Price Band will be applicable from May 19, 2026
  • Certain securities will continue in the LT-ASM framework but will be transferred to T / XT / MT / TS Group effective May 21, 2026 (Annexure I, Part D)
  • Securities moving out of the LT-ASM framework are listed in Annexure II, effective May 19, 2026
  • A consolidated list of all securities under the framework is provided in Annexure III
  • Shortlisting is based on XBRL submissions by listed companies and is purely a market surveillance action

Regulatory Changes

This notice is issued in reference to the revised LT-ASM framework established through multiple prior notices:

  • Exchange notice no. 20180321-46 dated March 21, 2018 (original LT-ASM framework)
  • Exchange notice no. 20181027-1 dated October 27, 2018
  • Exchange notice no. 20201204-56 dated December 04, 2020
  • Exchange notice no. 20240809-46 dated August 09, 2024
  • Exchange notice no. 20240920-63 dated September 20, 2024 (latest revision)
  • Exchange notice no. 20210604-41 dated June 04, 2021 (transfer to T/XT/MT/TS group provision)

The price band of a scrip exiting the framework will be reinstated to its pre-shortlisting price band, unless it remains under another surveillance measure.

Compliance Requirements

  • Market participants must maintain 100% margins on open positions in affected securities from May 21, 2026
  • Members should review the attached annexures to identify securities under the LT-ASM framework
  • For clarifications, members may contact BSE at bse.surv@bseindia.com
  • Participants must note that LT-ASM operates alongside all other prevailing surveillance measures

Important Dates

  • May 19, 2026: Securities moving to higher LT-ASM stages become effective; Lower Price Band applicable; securities exiting the LT-ASM framework become effective
  • May 20, 2026: Reference date for open positions subject to 100% margin requirement
  • May 21, 2026: 100% margins applicable on all open positions and new positions; affected securities transferred to T / XT / MT / TS Group

Impact Assessment

The imposition of 100% margins significantly increases the cost of holding or creating positions in the affected securities, effectively restricting speculative activity and reducing liquidity. Securities placed under LT-ASM are typically those exhibiting abnormal price movements or other surveillance triggers identified through XBRL data. The transfer of some securities to T/XT/MT/TS groups further restricts trading to trade-for-trade settlement, eliminating netting benefits. Market participants with existing positions in these securities must ensure adequate margin availability by May 20, 2026 to avoid margin shortfall penalties. The shortlisting is a surveillance action and should not be interpreted as a reflection of company fundamentals.

Impact Justification

Imposition of 100% margins on affected securities significantly increases trading costs and restricts market participation; securities moving between LT-ASM stages or exiting the framework are directly impacted.