Description

NSE implements Short-Term Additional Surveillance Measure (ST-ASM) Stage I on 5 securities with increased margin requirements of 50% effective October 21, 2025.

Summary

The National Stock Exchange of India has placed 5 securities under Short-Term Additional Surveillance Measure (ST-ASM) Stage I effective October 20, 2025. The affected securities are Beacon Trusteeship Limited, Global Vectra Helicorp Limited, Gurunanak Agriculture India Limited, Kore Digital Limited, and Twamev Construction and Infrastructure Limited. These securities will be subject to enhanced margin requirements of 50% or existing margin (whichever is higher), capped at 100%, applicable to all open positions and new positions created from October 21, 2025.

Key Points

  • 5 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%
  • No securities listed in ST-ASM Stage II
  • No securities moving between stages
  • ASM framework operates in conjunction with all other surveillance measures
  • Shortlisting is purely for market surveillance and not an adverse action against companies

Regulatory Changes

This circular is a continuation of the Additional Surveillance Measure (ASM) framework previously established through circulars dated October 27, 2018, December 04, 2020, April 28, 2022, September 25, 2023, and September 20, 2024. The ST-ASM framework applies enhanced surveillance to securities exhibiting specific market characteristics requiring closer monitoring.

Compliance Requirements

For Trading Members:

  • Ensure margin requirements of 50% (minimum) or existing margin (whichever is higher) are collected for all positions in the affected securities
  • Apply enhanced margins to all open positions as on October 20, 2025
  • Apply enhanced margins to all new positions created from October 21, 2025
  • Maximum margin is capped at 100%

For Market Participants:

  • Note that ASM framework operates alongside all other prevailing surveillance measures
  • Price bands will be reinstated to original levels when securities exit the framework, unless subject to other surveillance measures

Important Dates

  • October 17, 2025: Circular issued
  • October 20, 2025: Securities shortlisted under ST-ASM Stage I
  • October 21, 2025: Enhanced margin requirements become effective for all open and new positions

Impact Assessment

Trading Impact: The 50% minimum margin requirement significantly increases the capital needed to trade these securities, which will likely reduce trading volumes and liquidity. Traders holding open positions as of October 20, 2025 will need to arrange additional margin funds.

Affected Securities:

  1. BEACON (INE639X01027) - Beacon Trusteeship Limited
  2. GLOBALVECT (INE792H01019) - Global Vectra Helicorp Limited
  3. GURUNANAK (INE1CCX01012) - Gurunanak Agriculture India Limited
  4. KDL (INE0O4R01018) - Kore Digital Limited
  5. TICL (INE388G01026) - Twamev Construction and Infrastructure Limited

Market Implications: The enhanced surveillance measure indicates heightened volatility or unusual trading activity in these securities. While not an adverse action against the companies, it signals to market participants that these securities require additional caution. The increased margin requirements serve as a risk mitigation measure to protect market integrity.

Operational Impact: Brokers and trading members must update their risk management systems to implement the new margin requirements and communicate these changes to clients holding or intending to trade these securities.

Impact Justification

Significant increase in margin requirements to 50% minimum affects trading liquidity and positions for 5 securities, with immediate impact on all open and new positions.