Description

NSE updates ASM framework with securities moving between surveillance stages and exclusions effective August 04, 2025.

Summary

NSE has updated the Additional Surveillance Measure (ASM) framework with changes to security classifications effective August 04, 2025. The circular includes securities being added to Long-Term ASM Stage-I, movements between different ASM stages, and exclusions from the ASM framework.

Key Points

  • Two securities added to Long-Term ASM Framework Stage-I: ORTIN GLOBAL LIMITED and Stallion India Fluorochemicals Limited
  • ORTIN GLOBAL LIMITED moved from Short-Term ASM (STASM) to Long-Term ASM (LTASM) framework
  • Two securities moved from Long-Term ASM Stage-IV to Stage-III: JSW Holdings Limited and Kitex Garments Limited
  • Two securities excluded from ASM framework: DUDIGITAL GLOBAL LIMITED and Medico Remedies Limited
  • Securities in Stage-IV under Criteria VII will be shifted from Rolling Settlement (EQ series) to Trade for Trade (BE series) on T+3 basis

Regulatory Changes

  • Implementation of Long-Term ASM Framework with staged surveillance measures
  • Movement of securities between different surveillance stages based on performance criteria
  • Exclusion mechanism for securities that no longer meet ASM criteria
  • Trade settlement changes for Stage-IV securities under specific criteria

Compliance Requirements

  • Market participants must comply with enhanced surveillance measures for listed securities
  • Securities in Stage-IV under Criteria VII will have modified settlement procedures (T+3 Trade for Trade)
  • Brokers and investors must be aware of surveillance status changes for affected securities

Important Dates

  • Effective Date: August 04, 2025 - All ASM framework changes take effect
  • Settlement Change: T+3 basis for Stage-IV securities (T-day being date of circular issuance)

Impact Assessment

  • Trading Impact: Securities under enhanced surveillance may experience reduced liquidity and increased monitoring
  • Settlement Impact: Stage-IV securities will have modified settlement procedures affecting trading patterns
  • Market Confidence: Regular ASM updates help maintain market integrity through systematic surveillance
  • Investor Awareness: Investors in affected securities should be aware of enhanced surveillance measures and potential trading restrictions

Impact Justification

Routine surveillance measure updates affecting specific securities with stage movements and exclusions