Description

NSE updates Long-Term ASM Framework with stage movements for securities including MOXSH moving to Stage III and KIOCL moving to Stage III, effective October 27, 2025. Six securities excluded from ASM Framework.

Summary

NSE has issued updates to the Additional Surveillance Measure (ASM) Framework effective October 27, 2025. The circular details movements of securities across different stages of the Long-Term ASM Framework. Key changes include Moxsh Overseas Educon Limited (MOXSH) moving from Stage II to Stage III, and KIOCL Limited moving from Stage IV to Stage III. Additionally, six securities are being excluded from the ASM Framework entirely.

Key Points

  • Moxsh Overseas Educon Limited (MOXSH, INE0N6D01014) moves from Long-Term ASM Stage II to Stage III
  • KIOCL Limited (KIOCL, INE880L01014) moves from Long-Term ASM Stage IV to Stage III
  • Six securities excluded from ASM Framework: AKSHARCHEM, BANKA, LATTEYS, SIKKO, SMLISUZU, SUNDRMBRAK
  • LATTEYS and SIKKO moved from LTASM to ESM (Enhanced Surveillance Measure) framework
  • No securities shortlisted for new entry into Stage I or Stage IV
  • No securities moving between other stage combinations
  • Securities in Stage IV operate on Trade for Trade basis (Series: BE) on T+3 settlement

Regulatory Changes

The Long-Term ASM Framework continues to apply staged surveillance measures based on security behavior and risk parameters. Stage movements reflect changes in surveillance requirements:

  • Stage III: Increased surveillance with stricter monitoring parameters
  • Stage IV: Highest surveillance level with Trade for Trade settlement on T+3 basis (Series: BE shifted from Rolling Settlement Series: EQ)
  • Securities moving to Stage IV are subject to Criteria VII parameters

Securities Excluded from ASM Framework

  1. AksharChem India Limited (AKSHARCHEM, INE542B01011)
  2. Banka BioLoo Limited (BANKA, INE862Y01015)
  3. Latteys Industries Limited (LATTEYS, INE262Z01023) - Moved to ESM framework
  4. Sikko Industries Limited (SIKKO, INE112X01017) - Moved to ESM framework
  5. SML Isuzu Limited (SMLISUZU, INE294B01019)
  6. Sundaram Brake Linings Limited (SUNDRMBRAK, INE073D01013)

Important Dates

  • Effective Date: October 27, 2025
  • Circular Issue Date: October 24, 2025
  • Stage IV T+3 Basis: Calculated from date of circular issuance (T-day)

Impact Assessment

Market Impact: The changes affect trading conditions for eight securities. MOXSH faces increased surveillance requirements moving to Stage III, while KIOCL sees relaxation moving from Stage IV to Stage III, potentially improving liquidity.

Trading Impact: Securities excluded from ASM Framework (six stocks) will return to normal trading conditions, potentially increasing liquidity and reducing trading restrictions. LATTEYS and SIKKO remain under surveillance but transition to the ESM framework.

Investor Impact: Investors in MOXSH should be aware of heightened surveillance measures. Investors in excluded securities may benefit from normalized trading conditions and improved market access.

Impact Justification

Affects trading conditions for specific securities under surveillance framework with stage movements impacting two stocks and six exclusions from ASM