Description
NSE adds five securities to Long-Term ASM Framework Stage I effective May 07, 2026, with 100% margin requirement applicable from May 11, 2026 on all open and new positions.
Summary
NSE has shortlisted five securities under the Long-Term Additional Surveillance Measure (ASM) Framework Stage I effective May 07, 2026, via Circular Ref. No. 331/2026 (Download Ref No: NSE/SURV/74085). A 100% margin requirement will apply from May 11, 2026 on all open positions as of May 08, 2026 and on all new positions created from May 11, 2026 onwards. No securities were placed in Stage IV, and there are no inter-stage movements in this update.
Key Points
- Five securities added to Long-Term ASM Framework Stage I w.e.f. May 07, 2026
- 100% margin applicable on open positions (as on May 08, 2026) and new positions from May 11, 2026
- No securities in Stage IV; no Stage I→II, II→III, or I→IV movements in this circular
- SADBHIN (Sadbhav Infrastructure Project Limited) satisfies the inclusion criteria at BSE
- ASM framework operates in conjunction with all other prevailing surveillance measures
- Shortlisting is purely for market surveillance and should not be construed as adverse action against any company
Regulatory Changes
This circular references and builds upon earlier ASM circulars: NSE/SURV/39265 (Oct 27, 2018), NSE/SURV/45111 (Jul 22, 2020), NSE/SURV/46557 (Dec 04, 2020), NSE/SURV/48506 (Jun 04, 2021), NSE/SURV/52090 (Apr 22, 2022), NSE/SURV/63362 (Aug 09, 2024), and NSE/SURV/64066 (Sep 20, 2024). Securities meeting Criteria VII (Stage IV) would additionally be shifted from Rolling Settlement (Series: EQ) to Trade-for-Trade segment (Series: BE); however, no securities qualify under this criterion in the current update.
Compliance Requirements
- NSE Members must ensure 100% margin is collected on all open positions in the five listed securities as on May 08, 2026, effective May 11, 2026
- Members must collect 100% margin on all new positions in these securities created from May 11, 2026 onwards
- Members should update their risk management systems to reflect the revised margin requirements before market open on May 11, 2026
- For queries, members may contact: surveillance@nse.co.in
Important Dates
| Date | Event |
|---|---|
| May 06, 2026 | Circular issued |
| May 07, 2026 | Securities included in Long-Term ASM Stage I |
| May 08, 2026 | Reference date for existing open positions |
| May 11, 2026 | 100% margin requirement becomes effective |
Impact Assessment
Affected Securities (Long-Term ASM Stage I from May 07, 2026):
| Sr. No. | Symbol | Security Name | ISIN |
|---|---|---|---|
| 1 | KMEW | Knowledge Marine & Engineering Works Limited | INE0CJD01029 |
| 2 | NIPPOBATRY | Indo-National Limited | INE567A01028 |
| 3 | SAAKSHI | Saakshi Medtech and Panels Limited | INE0PSK01027 |
| 4 | SADBHIN | Sadbhav Infrastructure Project Limited | INE764L01010 |
| 5 | SUNFLAG | Sunflag Iron And Steel Company Limited | INE947A01014 |
The 100% margin requirement substantially increases the cost of holding or initiating positions in these securities, which is likely to reduce liquidity and trading volumes. Existing position holders face increased margin calls effective May 11, 2026. Retail and leveraged traders are most directly affected. The ASM designation signals heightened regulatory scrutiny due to surveillance-triggered criteria, though NSE explicitly clarifies this does not reflect adversely on the company’s fundamentals.
Impact Justification
Five securities face 100% margin requirement under Long-Term ASM Stage I, significantly increasing trading costs and restricting market participation for affected scrips from May 11, 2026.