Description

NSE Clearing revises market wide position limits and participant limits for LALPATHLAB in the Securities Lending and Borrowing Scheme, effective December 22, 2025.

Summary

NSE Clearing Limited has revised the Market Wide Position Limit (MWPL) and various participant limits for LALPATHLAB in the Securities Lending and Borrowing Scheme for December 2025. The revised limits represent an approximate doubling of previous limits across all categories and will be effective from December 22, 2025. This circular modifies previous circulars dated April 30, 2025 and November 28, 2025.

Key Points

  • Market Wide Position Limit increased from 3,888,596 shares to 7,777,193 shares (approximately 100% increase)
  • Institutional Client Limit increased from 388,859 shares to 777,719 shares
  • Participant Limit increased from 388,859 shares to 777,719 shares
  • Non-Institutional Client Limit increased from 38,885 shares to 77,771 shares
  • Changes apply specifically to LALPATHLAB symbol in the Securities Lending and Borrowing Scheme
  • Circular issued by Securities Lending & Borrowing Scheme Department

Regulatory Changes

This circular modifies the position limit framework for LALPATHLAB established under:

  • Previous circular NCL/CMPT/67763 dated April 30, 2025
  • Partial modification of circular NCL/CMPT/71557 dated November 28, 2025

The revised limits maintain the proportional relationship between different categories:

  • Institutional and Participant limits remain at 10% of MWPL
  • Non-Institutional Client limits remain at 1% of MWPL

Compliance Requirements

  • All Participants and Custodians must note and implement the revised position limits
  • Limits are applicable for positions in LALPATHLAB under the Securities Lending and Borrowing Scheme
  • Participants must ensure their clients’ positions comply with the revised institutional and non-institutional limits
  • For queries or support, participants should contact NSE Clearing at 18002660050 (IVR Option 2) or email support@nsccl.co.in

Important Dates

  • Circular Issue Date: December 19, 2025
  • Effective Date: December 22, 2025
  • Applicable Period: December 2025

Impact Assessment

The doubling of position limits for LALPATHLAB indicates increased availability of shares for lending and borrowing activities. This expansion:

  • Provides greater flexibility for institutional and retail participants in securities lending and borrowing transactions
  • May improve liquidity in the SLBS market for LALPATHLAB shares
  • Allows larger positions to be taken by market participants, potentially supporting increased trading activity
  • Reflects potential changes in the underlying stock’s liquidity or market demand for borrowing
  • Enables institutional clients to double their maximum position size from approximately 388,000 to 777,000 shares

Impact Justification

Significant increase in position limits (doubled) for LALPATHLAB in SLBS affects market participants and institutional clients engaged in securities lending and borrowing activities