Description
NSE adds 20 securities to Enhanced Surveillance Measure (ESM) Stage I effective April 23, 2026, requiring 100% margin and shift from Rolling Settlement to Trade-for-Trade segment.
Summary
NSE Circular 285/2026 (Download Ref: NSE/SURV/73826), issued by the Surveillance department on April 21, 2026, announces the inclusion of 20 securities under the Enhanced Surveillance Measure (ESM) Stage I framework effective April 23, 2026. These securities will attract a minimum 100% margin requirement and will be migrated from Rolling Settlement (EQ/SM series) to Trade-for-Trade (BE/ST series). Additionally, securities moving to ESM Stage II will be placed under Trade-for-Trade with a 2% price band under Periodic Call Auction.
Key Points
- 20 securities added to ESM Stage I, attracting minimum 100% margin w.e.f. April 23, 2026
- Margin applies to all open positions as on April 22, 2026, and all new positions from April 23, 2026
- All 20 securities (marked with *) to be shifted from Rolling Settlement (EQ/SM) to Trade-for-Trade (BE/ST) w.e.f. April 23, 2026
- Securities moving to ESM Stage II will be under Trade-for-Trade with a 2% price band under Periodic Call Auction w.e.f. April 22, 2026
- Certain securities are also eligible for exit from ESM framework (Annexure II)
- A consolidated list of all securities under the ESM framework is provided in Annexure III
- ESM framework operates in conjunction with all other prevailing surveillance measures
- Shortlisting under ESM is purely a surveillance action and should not be construed as an adverse action against the company
Regulatory Changes
This circular is issued under the ESM framework established by earlier circulars: NSE/SURV/56948 (June 2, 2023), NSE/SURV/57609 (July 18, 2023), NSE/SURV/63361 (August 9, 2024), NSE/SURV/64066 (September 20, 2024), NSE/SURV/64400 (October 4, 2024), and NSE/SURV/69315 (July 25, 2025). The current circular applies these existing ESM provisions to a new batch of securities.
Compliance Requirements
- NSE Members: Must ensure 100% margin collection on all ESM Stage I securities for open positions as of April 22, 2026, and new positions from April 23, 2026
- Members: Must route trades in the specified securities through the Trade-for-Trade (BE/ST) segment from April 23, 2026
- Members: For ESM Stage II securities, trading must comply with 2% price band restrictions under Periodic Call Auction from April 22, 2026
- Members may direct queries to surveillance@nse.co.in
Important Dates
| Date | Event |
|---|---|
| April 21, 2026 | Circular issued |
| April 22, 2026 | Reference date for open positions; ESM Stage II Periodic Call Auction with 2% price band effective |
| April 23, 2026 | 100% margin requirement effective; Migration from EQ/SM to BE/ST segment effective |
Impact Assessment
Securities Added to ESM Stage I (Annexure I):
| Sr. No. | Symbol | Security Name | ISIN |
|---|---|---|---|
| 1 | AGARWALFT | Agarwal Float Glass India Limited | INE0MLA01012 |
| 2 | AHLWEST | Asian Hotels (West) Limited | INE915K01010 |
| 3 | AKSHOPTFBR | Aksh Optifibre Limited | INE523B01011 |
| 4 | ATCENERGY | ATC Energies System Limited | INE0V0Q01019 |
| 5 | AVADHSUGAR | Avadh Sugar & Energy Limited | INE349W01017 |
| 6 | DURLAX | Durlax Top Surface Limited | INE0OUW01013 |
| 7 | FCSSOFT | FCS Software Solutions Limited | INE512B01022 |
| 8 | INSPIRE | Inspire Films Limited | INE0NDX01019 |
| 9 | KRITINUT | Kriti Nutrients Limited | INE798K01010 |
| 10 | LOKESHMACH | Lokesh Machines Limited | INE397H01017 |
| 11 | MCLEODRUSS | Mcleod Russel India Limited | INE942G01012 |
| 12 | MEIL | Mangal Electrical Industries Limited | INE0PKD01011 |
| 13 | NAHARSPING | Nahar Spinning Mills Limited | INE290A01027 |
| 14 | PEARLPOLY | Pearl Polymers Limited | INE844A01013 |
| 15 | PPSL | Picturepost Studios Limited | INE0YAL01017 |
| 16 | PURVFLEXI | Purv Flexipack Limited | INE0R6C01012 |
| 17 | RBS | Ramdevbaba Solvent Limited | INE0RJH01010 |
| 18 | SAKUMA | Sakuma Exports Limited | INE190H01024 |
| 19 | SWASTIK | Swastik Pipe Limited | INE0DGC01025 |
| 20 | VLEGOV | VL E-Governance & IT Solutions Limited | INE03HW01020 |
Market Impact: The 100% margin requirement significantly increases the cost of holding positions in these securities, likely reducing liquidity and trading volumes. The shift to Trade-for-Trade eliminates netting benefits, meaning each trade must result in actual delivery, further dampening speculative activity. The 2% price band under Periodic Call Auction for Stage II securities severely limits intraday price movement. These measures collectively signal elevated regulatory concern about price manipulation or abnormal trading patterns in these securities.
Impact Justification
20 securities face 100% margin requirements and mandatory segment migration from Rolling Settlement (EQ/SM) to Trade-for-Trade (BE/ST), significantly restricting trading flexibility and increasing cost of participation for market members.