Description

NSE places four securities under ST-ASM Stage I with increased margin requirements of 50% effective December 11, 2025, while removing two securities from the ASM framework.

Summary

NSE has issued surveillance measures under the Short-Term Additional Surveillance Measure (ST-ASM) framework effective December 10-11, 2025. Four securities have been placed under ST-ASM Stage I with margin requirements increasing to 50% or existing margin (whichever is higher), capped at 100%. Two securities (Identical Brains Studios Limited and Tunwal E-Motors Limited) are being removed from the ASM framework. This action is part of NSE’s ongoing market surveillance and should not be construed as adverse action against the companies.

Key Points

  • Four securities added to ST-ASM Stage I: Chavda Infra Limited, Kaynes Technology India Limited, Kesoram Industries Limited, and Marinetrans India Limited
  • Margin requirement increases to 50% or existing margin (whichever is higher), maximum capped at 100%
  • Margins apply to all open positions as on December 10, 2025 and new positions from December 11, 2025
  • Two securities excluded from ASM framework: Identical Brains Studios Limited (IDENTICAL) and Tunwal E-Motors Limited (TUNWAL)
  • No securities moving between ST-ASM Stage I and Stage II
  • No securities in ST-ASM Stage II currently
  • Consolidated ASM list shows Capital Trust Limited (CAPTRUST) remains in Stage I
  • ASM framework operates in conjunction with all other prevailing surveillance measures

Regulatory Changes

This circular implements the Short-Term Additional Surveillance Measure framework as per previous Exchange circulars dated October 27, 2018, December 04, 2020, April 28, 2022, September 25, 2023, and September 20, 2024. The ST-ASM framework is designed to monitor securities showing abnormal price movements or trading patterns through enhanced margin requirements.

Compliance Requirements

  • Trading members must collect applicable margins of 50% or existing margin (whichever is higher) on the specified securities
  • Margins apply to both existing open positions as of December 10, 2025 and all new positions created from December 11, 2025
  • Members must ensure compliance with the maximum margin cap of 100%
  • All prevailing surveillance measures continue to apply alongside ST-ASM
  • Queries should be directed to surveillance@nse.co.in

Important Dates

  • December 09, 2025: Circular issued
  • December 10, 2025: Securities shortlisted for ST-ASM Stage I; exclusions from ASM framework effective
  • December 11, 2025: Enhanced margin requirements of 50% come into effect

Impact Assessment

Trading Impact: The 50% margin requirement significantly increases the capital required to trade in the four affected securities (CHAVDA, KAYNES, KESORAMIND, MARINETRAN), potentially reducing trading volumes and liquidity in these stocks.

Investor Impact: Existing position holders will face increased margin calls starting December 11, 2025. Investors may need to either infuse additional capital or reduce positions to meet margin requirements.

Market Sentiment: Inclusion in ST-ASM may negatively impact market sentiment for these securities despite NSE’s clarification that this is not adverse action against the companies. However, the exclusion of IDENTICAL and TUNWAL from ASM framework provides relief to those stocks.

Stocks Affected:

  • CHAVDA (Chavda Infra Limited) - ISIN: INE0PT101017
  • KAYNES (Kaynes Technology India Limited) - ISIN: INE918Z01012
  • KESORAMIND (Kesoram Industries Limited) - ISIN: INE087A01019
  • MARINETRAN (Marinetrans India Limited) - ISIN: INE0P1P01017
  • IDENTICAL (Identical Brains Studios Limited) - Removed from ASM - ISIN: INE0TD101011
  • TUNWAL (Tunwal E-Motors Limited) - Removed from ASM - ISIN: INE0OXV01027

Impact Justification

Significant increase in margin requirements to 50% for four securities affects trading costs and liquidity. Direct impact on traders holding positions in these stocks.