Description

NSE imposes 50% margin requirement on 7 securities under ST-ASM Stage I effective September 8, 2025, while removing 3 securities from ASM framework.

Summary

NSE has applied Short-Term Additional Surveillance Measure (ST-ASM) Stage I to 7 securities effective September 5, 2025, requiring 50% margin or existing margin (whichever is higher) capped at 100% from September 8, 2025. Additionally, 3 securities are being removed from the ASM framework.

Key Points

  • 7 securities placed under ST-ASM Stage I with enhanced margin requirements
  • Margin rate of 50% or existing margin (whichever higher), capped at 100%
  • 3 securities excluded from ASM framework entirely
  • No securities in ST-ASM Stage II currently
  • ASM framework works in conjunction with other surveillance measures

Regulatory Changes

  • Enhanced margin requirements for ST-ASM Stage I securities
  • Applicable to both existing open positions as of September 5, 2025 and new positions from September 8, 2025
  • Removal of surveillance measures for 3 previously monitored securities

Compliance Requirements

  • Market participants must maintain higher margins for affected securities
  • Compliance with 50% minimum margin requirement effective September 8, 2025
  • Adherence to all other prevailing surveillance measures

Important Dates

  • September 5, 2025: ST-ASM Stage I classification effective
  • September 8, 2025: Enhanced margin requirements take effect
  • September 5, 2025: Exclusion of 3 securities from ASM framework

Impact Assessment

Securities Under ST-ASM Stage I:

  1. Astron Paper & Board Mill Limited (ASTRON)
  2. Jai Corp Limited (JAICORPLTD)
  3. Newjaisa Technologies Limited (NEWJAISA)
  4. Saj Hotels Limited (SAJHOTELS)
  5. Sharp Chucks and Machines Limited (SCML)
  6. Spacenet Enterprises India Limited (SPCENET)
  7. Southern Petrochemicals Industries Corporation Limited (SPIC)

Securities Excluded from ASM:

  1. Consolidated Construction Consortium Limited (CCCL)
  2. HLE Glascoat Limited (HLEGLAS)
  3. Sellowrap Industries Limited (SELLOWRAP)

The measure increases trading costs for affected securities and may reduce speculative activity, while removal of ASM for 3 securities reduces their trading restrictions.

Impact Justification

Affects 7 securities with increased margin requirements but routine surveillance measure