Description

NSE circular on inclusion of securities under Long-Term Additional Surveillance Measure (ASM) with 100% margin requirements and trade-for-trade segment shifts effective January 16, 2026.

Summary

NSE has issued a circular regarding the inclusion of securities under the Long-Term Additional Surveillance Measure (ASM) framework. One security, Vilin Bio Med Limited (VILINBIO), has been moved from Short-Term ASM (STASM) to Long-Term ASM (LTASM) framework Stage-I effective January 13, 2026. A 100% margin requirement will be applicable on all open positions and new positions from January 16, 2026. Securities qualifying under criteria VII would be shifted from Rolling Settlement (EQ) to Trade-for-Trade segment (BE).

Key Points

  • One security (VILINBIO) moved from STASM to LTASM framework Stage-I
  • 100% margin rate applicable from January 16, 2026 on all open positions as on January 14, 2026 and new positions created from January 16, 2026 onwards
  • Securities under criteria VII will be shifted from Rolling Settlement segment (Series: EQ) to Trade-for-Trade segment (Series: BE) effective January 16, 2026
  • No securities shortlisted for Stage-IV or movement between stages (Stage-I to Stage-II, Stage-II to Stage-III, etc.) in this circular
  • ASM framework operates in conjunction with all other prevailing surveillance measures
  • Shortlisting under ASM is purely for market surveillance and not an adverse action against the company

Regulatory Changes

This circular implements the Long-Term ASM framework as per previous NSE circulars (NSE/SURV/39265, NSE/SURV/45111, NSE/SURV/46557, NSE/SURV/48506, NSE/SURV/52090, NSE/SURV/63362, and NSE/SURV/64066) dated between October 2018 and September 2024. The framework imposes enhanced surveillance on securities meeting specific criteria for unusual price movements or trading patterns.

Compliance Requirements

  • Market participants must ensure 100% margin for VILINBIO (Vilin Bio Med Limited - ISIN: INE0L4V01013) from January 16, 2026
  • Margin applies to both existing open positions as on January 14, 2026 and all new positions created from January 16, 2026
  • Trading members must comply with trade-for-trade requirements for securities shifted to BE series under criteria VII
  • Members should refer to FAQs at https://www.nseindia.com/regulations/additional-surveillance-measure for detailed information
  • Queries can be directed to surveillance@nse.co.in

Important Dates

  • January 12, 2026: Circular issuance date
  • January 13, 2026: Effective date for securities shortlisted in Long-Term ASM Framework
  • January 14, 2026: Cut-off date for existing open positions subject to 100% margin
  • January 16, 2026: 100% margin requirement becomes applicable; potential shift to Trade-for-Trade segment (BE series) for criteria VII securities

Impact Assessment

Market Impact: The 100% margin requirement significantly increases capital requirements for traders holding positions in VILINBIO, potentially reducing trading volumes and liquidity. The move from STASM to LTASM indicates persistent concerns about the security’s trading behavior.

Operational Impact: Brokers and trading members need to ensure adequate margin collection from clients and system readiness for implementing 100% margins. For securities shifted to trade-for-trade segment, intraday trading will not be permitted, requiring delivery-based settlement.

Investor Impact: Retail and institutional investors will face higher capital requirements and reduced trading flexibility. Position holders must arrange additional margins by January 16, 2026, or risk position squaring-off by the exchange.

Affected Security: Vilin Bio Med Limited (Symbol: VILINBIO, ISIN: INE0L4V01013) is the only security impacted in this circular, having been escalated from short-term to long-term surveillance framework.

Impact Justification

High importance due to 100% margin requirement implementation and potential shift to trade-for-trade segment affecting trading flexibility and capital requirements for affected securities