Description

NSE implements Short-Term Additional Surveillance Measure on 9 securities with 50% margin requirement effective August 29, 2025.

Summary

NSE has implemented Short-Term Additional Surveillance Measure (ST-ASM) Stage I on 9 securities effective August 29, 2025. The measure increases margin requirements to 50% or existing margin, whichever is higher, with a maximum cap of 100%. This surveillance action is based on market monitoring criteria and applies to both existing open positions and new positions.

Key Points

  • 9 securities included in ST-ASM Stage I framework
  • Margin requirement increased to minimum 50% or existing margin, whichever is higher
  • Maximum margin capped at 100%
  • Applies to all open positions as on August 28, 2025
  • Applies to new positions created from August 29, 2025
  • No securities in Stage II or moving between stages
  • 3 securities excluded from ASM framework (ARROWGREEN, BAFNAPH, DIGISPICE)

Regulatory Changes

Implementation of enhanced margin requirements under ST-ASM framework for identified securities. The surveillance measure works in conjunction with all other existing surveillance measures imposed by the exchange.

Compliance Requirements

  • Market participants must maintain higher margin requirements for affected securities
  • Compliance with 50% minimum margin or existing margin, whichever is higher
  • Maximum margin requirement capped at 100%
  • All trading members must adhere to enhanced surveillance measures

Important Dates

  • August 26, 2025: Circular issued
  • August 28, 2025: Cut-off date for existing open positions
  • August 29, 2025: ST-ASM measures become effective

Impact Assessment

The enhanced margin requirements will increase trading costs for the affected securities, potentially reducing trading volumes and liquidity. Market participants holding positions in these securities will need to maintain higher margins, affecting capital utilization. The measure is designed to curb excessive speculation and maintain market stability for securities showing unusual price movements or volatility patterns.

Affected Securities

ST-ASM Stage I (9 securities):

  1. Apollo Micro Systems Limited (APOLLO)
  2. Zinka Logistics Solutions Limited (BLACKBUCK)
  3. Consolidated Construction Consortium Limited (CCCL)
  4. FlySBS Aviation Limited (FLYSBS)
  5. HLE Glascoat Limited (HLEGLAS)
  6. Parth Electricals & Engineering Limited (PARTH)
  7. Reliable Data Services Limited (RELIABLE)
  8. Sabar Flex India Limited (SABAR)
  9. Sellowrap Industries Limited (SELLOWRAP)

Impact Justification

Affects trading margins for 9 securities, increasing margin requirements to 50% minimum which impacts trading liquidity and costs