Description

NSE introduces Short-Term Additional Surveillance Measure (ST-ASM) Stage I for 6 securities with 50% margin requirement effective January 5, 2026, while excluding 3 securities from ASM framework.

Summary

NSE has issued surveillance measures under the Short-Term Additional Surveillance Measure (ST-ASM) framework effective January 2-5, 2026. Six securities have been included in ST-ASM Stage I with enhanced margin requirements of 50% or existing margin (whichever is higher, capped at 100%). One security (CEDAAR) moves from Stage II to Stage I, while three securities (KDL, NIRAJ, OSWALSEEDS) are excluded from the ASM framework entirely.

Key Points

  • 6 securities included in ST-ASM Stage I: Dolphin Offshore Enterprises, Filatex Fashions, Navkar Urbanstructure, NRB Industrial Bearings, Shree Rama Multi-Tech, and Silver Touch Technologies
  • Margin requirement: 50% or existing margin (whichever is higher), capped at 100%
  • No securities included in ST-ASM Stage II
  • Cedaar Textile Limited moves from Stage II to Stage I
  • 3 securities excluded from ASM framework: Kore Digital, Niraj Cement Structurals, ShreeOswal Seeds And Chemicals
  • ASM framework operates in conjunction with all other prevailing surveillance measures
  • Shortlisting is purely for market surveillance and not an adverse action against companies

Regulatory Changes

This circular references previous NSE circulars establishing the ASM framework (NSE/SURV/39265 dated October 27, 2018, NSE/SURV/46557 dated December 4, 2020, NSE/SURV/52144 dated April 28, 2022, NSE/SURV/58558 dated September 25, 2023, and NSE/SURV/64066 dated September 20, 2024). The current update modifies the list of securities subject to ST-ASM surveillance measures.

Compliance Requirements

  • Market participants must apply 50% margin or existing margin (whichever is higher, maximum 100%) on all open positions as of January 2, 2026
  • Same margin requirements apply to new positions created from January 5, 2026
  • Members must comply with enhanced surveillance actions for affected securities
  • All other prevailing surveillance measures remain applicable alongside ASM framework
  • For queries, members should contact surveillance@nse.co.in

Important Dates

  • January 1, 2026: Circular issuance date
  • January 2, 2026: Effective date for ST-ASM Stage I inclusion/exclusion and stage transitions
  • January 5, 2026: Margin requirements become applicable for all open positions as on January 2, 2026 and new positions created thereafter

Impact Assessment

Securities Included in ST-ASM Stage I (High Impact):

  • DOLPHIN (INE920A01037) - Dolphin Offshore Enterprises (India) Limited
  • FILATFASH (INE185E01021) - Filatex Fashions Limited
  • NAVKARURB (INE268H01044) - Navkar Urbanstructure Limited
  • NIBL (INE047O01014) - NRB Industrial Bearings Limited
  • SHREERAMA (INE879A01019) - Shree Rama Multi-Tech Limited
  • SILVERTUC (INE625X01018) - Silver Touch Technologies Limited

Securities Moving Stage II to Stage I:

  • CEDAAR (INE11J101017) - Cedaar Textile Limited

Securities Excluded from ASM (Positive Impact):

  • KDL (INE0O4R01018) - Kore Digital Limited
  • NIRAJ (INE368I01016) - Niraj Cement Structurals Limited
  • OSWALSEEDS (INE00IK01029) - ShreeOswal Seeds And Chemicals Limited

The enhanced margin requirements will significantly reduce leverage available for trading in the affected securities, potentially impacting liquidity and trading volumes. Securities excluded from ASM framework will experience relaxed surveillance measures. Market participants holding positions in these securities should prepare for increased capital requirements.

Impact Justification

High margin requirements (50-100%) significantly impact trading in affected securities, with immediate compliance required for market participants