Description

NSE circular regarding securities qualifying for inclusion under Long Term Additional Surveillance Measure framework with 100% margin requirement effective January 7, 2026.

Summary

NSE issued a circular on January 2, 2026, regarding the Additional Surveillance Measure (ASM) framework, specifically for Long Term ASM. However, according to the attached annexure, no securities have been shortlisted for inclusion or movement between stages at this time. All lists (Stage I, Stage IV, and transitions between stages) show ‘Nil’ entries.

Key Points

  • Circular reference: NSE/SURV/72143, Circular No. 05/2026
  • References previous ASM circulars dating from October 27, 2018 to September 20, 2024
  • No securities currently satisfy criteria for inclusion under Long Term ASM
  • Framework provisions remain in place for future application
  • ASM measures work in conjunction with other prevailing surveillance measures
  • Shortlisting under ASM is purely for market surveillance and not an adverse action against companies

Regulatory Changes

No regulatory changes are being implemented as no securities are affected. The circular reiterates the existing ASM framework provisions:

  • 100% margin requirement would apply on all open positions and new positions when securities are included
  • Securities qualifying under criteria VII (Stage IV) would be shifted from Rolling Settlement (EQ) to Trade-for-Trade segment (BE)
  • Price bands would be reinstated to pre-ASM levels when securities move out of the framework

Compliance Requirements

No compliance actions required as no securities are currently shortlisted. Members should:

Important Dates

  • January 2, 2026: Circular issued
  • January 5, 2026: Effective date mentioned for shortlisting (but no securities listed)
  • January 6, 2026: Last day for positions before margin changes (if applicable)
  • January 7, 2026: Implementation date for 100% margin and T2T shift (if applicable)

Impact Assessment

Market Impact: None. No securities are being placed under surveillance measures.

Operational Impact: No operational changes required as the annexure shows nil entries across all ASM stages and transitions.

Investor Impact: No impact on investors or trading members as no stocks are affected.

This appears to be a routine circular maintaining the ASM framework communication protocol even when no securities qualify for the measures during this review period.

Impact Justification

No securities were shortlisted in any ASM stage as per the annexure (all lists show 'Nil'), therefore this circular has no immediate market impact despite the framework description.