Description

NSE implements Short-Term Additional Surveillance Measure (ST-ASM) Stage I on three securities with 50% margin requirement effective November 27-28, 2025.

Summary

NSE has placed three securities under Short-Term Additional Surveillance Measure (ST-ASM) Stage I effective November 27, 2025. The affected securities are Greenleaf Envirotech Limited, Integrity Infrabuild Developers Limited, and Magellanic Cloud Limited. This surveillance action imposes a 50% margin requirement (or existing margin, whichever is higher, capped at 100%) on all positions. Additionally, two securities - GE Power India Limited and Shubhlaxmi Jewel Art Limited - are being excluded from the ASM framework.

Key Points

  • Three securities added to ST-ASM Stage I framework
  • Margin requirement set at 50% or existing margin (whichever is higher), maximum capped at 100%
  • No securities added to ST-ASM Stage II
  • No securities moving between Stage I and Stage II
  • Two securities excluded from ASM framework (GVPIL moved out, SHUBHLAXMI moved to ESM framework)
  • ASM framework operates in conjunction with other surveillance measures
  • Shortlisting is purely for market surveillance and not an adverse action against companies

Regulatory Changes

The exchange has invoked the Short-Term Additional Surveillance Measure framework for the identified securities based on surveillance criteria. This framework is designed to address unusual price movements or trading patterns in securities.

Compliance Requirements

For Trading Members:

  • Apply 50% margin (or existing margin, whichever is higher) on all positions in the three affected securities
  • Maximum margin capped at 100%
  • Margin applies to all open positions as on November 27, 2025
  • Margin applies to new positions created from November 28, 2025 onwards

For Market Participants:

  • Be aware that ASM framework works alongside all other existing surveillance measures
  • Note that surveillance action should not be construed as adverse action against the company

Important Dates

  • November 26, 2025: Circular issued
  • November 27, 2025: ST-ASM Stage I becomes effective; margin applicable on all open positions
  • November 28, 2025: Margin applicable on new positions created from this date

Securities Affected

Added to ST-ASM Stage I:

  1. Greenleaf Envirotech Limited (GREENLEAF) - ISIN: INE0PLX01017
  2. Integrity Infrabuild Developers Limited (INTEGRITY) - ISIN: INE0YSH01017
  3. Magellanic Cloud Limited (MCLOUD) - ISIN: INE613C01026

Excluded from ASM Framework:

  1. GE Power India Limited (GVPIL) - ISIN: INE878A01011
  2. Shubhlaxmi Jewel Art Limited (SHUBHLAXMI) - ISIN: INE01Z401013 (Moved to ESM framework)

Impact Assessment

Trading Impact:

  • Increased margin requirements will reduce leverage available to traders in these three securities
  • Higher capital requirements may decrease trading volumes and liquidity in affected stocks
  • Existing position holders need to ensure adequate margins by November 27, 2025

Market Impact:

  • Limited overall market impact as only three small-cap securities are affected
  • Signals heightened regulatory scrutiny on price movements in these specific stocks
  • May deter speculative trading activity in the affected securities

Investor Impact:

  • Investors trading these securities will need to maintain higher margins
  • Potential margin calls for those with insufficient funds
  • Trading costs effectively increase due to higher capital requirements

Additional Information

For queries, members can contact NSE Surveillance Department at surveillance@nse.co.in. Detailed FAQs on Additional Surveillance Measure are available at: https://www.nseindia.com/regulations/additional-surveillance-measure

Impact Justification

Affects three specific securities with increased margin requirements but limited market-wide impact. Investors in these stocks face immediate trading restrictions.