Description
Updated list of 40 equity shares approved for non-cash component of liquid assets in SLB segment with VAR-based haircuts and quantity limits.
Summary
NSE has issued a revised list of approved securities and banks for Securities Lending and Borrowing (SLB) operations. The circular contains 40 equity shares that form part of the non-cash component of liquid assets, with VAR-based haircuts applicable and quantity restrictions for member deposits.
Key Points
- 40 equity securities approved for non-cash component of liquid assets
- VAR-based haircut applies to all listed securities
- Maximum 25% limit on each security for total margins per member
- Overall permitted quantities specified across all segments
- SLB segment shows “N.A” for memberwise permitted quantities
- List includes major blue-chip stocks across various sectors
Regulatory Changes
- Updated approved securities list for SLB operations
- Revised quantity limits and haircut mechanisms
- Maintained 25% maximum exposure limit per security per member
Compliance Requirements
- Members must adhere to maximum 25% limit for each security in total margins
- Compliance with overall permitted quantities across all segments
- VAR-based haircut calculations to be applied as specified
Important Dates
- Circular date: August 21, 2025
- Effective immediately upon publication
Impact Assessment
- Medium impact on SLB participants and market operations
- Provides clarity on approved securities and quantity limits
- Ensures risk management through VAR-based haircuts and exposure limits
- Affects liquidity management strategies for members using these securities as collateral
Impact Justification
Standard revision of approved securities list affecting SLB operations but no significant operational changes