Description

NSE implements Short-Term Additional Surveillance Measure on 7 securities with 50% margin requirement effective September 11, 2025.

Summary

NSE has implemented Short-Term Additional Surveillance Measure (ST-ASM) Stage I on 7 securities effective September 11, 2025. The measure imposes a 50% margin requirement (or existing margin, whichever is higher, capped at 100%) on all positions. One security, Royal Orchid Hotels Limited (ROHLTD), has been excluded from the ASM framework.

Key Points

  • 7 securities added to ST-ASM Stage I framework
  • Margin requirement increased to 50% or existing margin, whichever is higher
  • Maximum margin cap set at 100%
  • Applies to all open positions as on September 10, 2025 and new positions from September 11, 2025
  • Royal Orchid Hotels Limited (ROHLTD) excluded from ASM framework
  • Shortlisting is purely for market surveillance and not an adverse action against companies

Regulatory Changes

Implementation of Short-Term Additional Surveillance Measure (ST-ASM) Stage I with enhanced margin requirements. This framework works in conjunction with all other prevailing surveillance measures imposed by exchanges.

Compliance Requirements

  • Market participants must maintain 50% margin (or existing margin, whichever is higher) for the listed securities
  • Margin requirements apply to all open positions as on September 10, 2025
  • New positions created from September 11, 2025 subject to enhanced margin requirements
  • Maximum margin capped at 100%

Important Dates

  • September 10, 2025: Cut-off date for existing open positions
  • September 11, 2025: Effective date for ST-ASM Stage I margin requirements

Securities Affected

Added to ST-ASM Stage I:

  1. ANI Integrated Services Limited (AISL) - INE635Y01015
  2. Bartronics India Limited (ASMS) - INE855F01042
  3. D P Wires Limited (DPWIRES) - INE864X01013
  4. Kavveri Defence & Wireless Technologies Limited (KAVDEFENCE) - INE641C01019
  5. KIOCL Limited (KIOCL) - INE880L01014
  6. Salasar Techno Engineering Limited (SALASAR) - INE170V01027
  7. Xtglobal Infotech Limited (XTGLOBAL) - INE547B01028

Excluded from ASM Framework:

  • Royal Orchid Hotels Limited (ROHLTD) - INE283H01019

Impact Assessment

The implementation of ST-ASM Stage I will significantly impact trading in the affected securities by increasing margin requirements to 50%. This measure aims to enhance market surveillance and risk management but may reduce trading volumes and liquidity in these securities. Market participants will face higher capital requirements for trading these stocks, potentially affecting price discovery and market participation.

Impact Justification

Significant margin increase to 50% affects trading costs and liquidity for listed securities