Description

Updated list of equity shares approved as non-cash component of liquid assets for margin collateral with applicable haircuts and quantity limits.

Summary

NSE has issued a revised list of equity shares that will form part of the non-cash component of liquid assets for margin collateral. The list includes 40+ securities with VaR-based haircuts, subject to maximum 25% of total margins per security.

Key Points

  • Applicable haircut for all listed securities is based on Value at Risk (VaR)
  • Members can deposit each security subject to maximum 25% of total margins
  • Overall permitted quantities specified across all segments
  • Member-wise permitted quantity for CM segment marked as N.A (not applicable)
  • List includes major blue-chip stocks across various sectors

Approved Securities

Major Securities Include:

  1. Financial Services: HDFCBANK (2.67B shares), ICICIBANK (1.16B shares), KOTAKBANK (1.47B shares), SBIN (814.6M shares), AXISBANK (551.8M shares)
  2. Technology: INFY (635M shares), HCLTECH (211M shares)
  3. Energy: RELIANCE (1.33B shares), ONGC (1.03B shares), COALINDIA (454.4M shares), NTPC (948.3M shares)
  4. Consumer Goods: ITC (2.5B shares), HINDUNILVR (179M shares), ASIANPAINT (90.8M shares), NESTLEIND (143.6M shares)
  5. Automotive: MARUTI (26.2M shares), M&M (190.9M shares), BAJAJ-AUTO (25.1M shares), EICHERMOT (27.9M shares)
  6. Infrastructure: LT (272.2M shares), POWERGRID (905.1M shares), ADANIPORTS (147.4M shares)
  7. Others: BEL (714.4M shares), BHARTIARTL (605.5M shares), ETERNAL (1.82B shares)

Regulatory Changes

This circular provides an updated list of approved securities replacing the previous version. The VaR-based haircut methodology remains consistent with existing margin framework.

Compliance Requirements

  • Trading members must ensure each security deposited does not exceed 25% of their total margin requirements
  • Deposits must be within the overall permitted quantities specified for each security
  • Securities must be from the approved list only for non-cash collateral purposes

Important Dates

Circular issued: January 21, 2026 Effective date: Immediate (not explicitly stated, typical for such revisions)

Impact Assessment

Market Impact: Low - Routine administrative update Operational Impact: Medium - Members need to review current collateral positions against updated permitted quantities Risk Management: The 25% concentration limit per security helps diversify collateral risk across the clearing system

Impact Justification

Routine update to approved securities list for collateral purposes, affecting members' margin deposit options with VaR-based haircuts and quantity restrictions