NSE has shortlisted 8 securities under the Short-Term Additional Surveillance Measure (ST-ASM) Stage I effective May 4, 2026, with enhanced margin requirements applicable from May 5, 2026. No securities have been added to ST-ASM Stage II in this circular. One security (VERANDA) has been moved from the High Promoter Encumbrance framework to ST-ASM.

Key Points

• 8 securities added to ST-ASM Stage I effective May 4, 2026
• Stage I margin requirement: 50% or existing margin, whichever is higher (max 100%)
• Stage II margin requirement: 100% or existing margin, whichever is higher (max 100%)
• No securities added to Stage II (Nil)
• VERANDA moved from High Promoter Encumbrance framework to ST-ASM
• ASM framework operates in conjunction with all other prevailing surveillance measures
• Shortlisting is purely for market surveillance and not an adverse action against the company

Regulatory Changes

Securities satisfying ST-ASM criteria are subject to enhanced margin requirements as per the ASM framework established under earlier circulars NSE/SURV/39265, NSE/SURV/46557, NSE/SURV/52144, NSE/SURV/58558, and NSE/SURV/64066. The price band for securities exiting the framework reverts to the pre-shortlisting level, unless the security is under another surveillance measure.

Compliance Requirements

• Members must apply the applicable margin rates on all open positions as on May 4, 2026 and new positions from May 5, 2026
• Stage I securities: minimum 50% margin (capped at 100%)
• Stage II securities: minimum 100% margin (capped at 100%)
• Members should refer to FAQs at https://www.nseindia.com/regulations/additional-surveillance-measure for detailed guidance
• Queries to be directed to surveillance@nse.co.in

Important Dates

• April 30, 2026: Circular issued
• May 4, 2026: Effective date of ST-ASM shortlisting for listed securities
• May 5, 2026: Enhanced margin requirements apply on all open positions as on May 4, 2026 and new positions

Impact Assessment

ST-ASM Stage I Securities (effective May 4, 2026):

*Moved from High Promoter Encumbrance framework to ST-ASM

ST-ASM Stage II Securities: Nil

Traders and investors holding positions in these 8 securities will face significantly higher margin requirements from May 5, 2026, which may lead to forced liquidations for under-margined accounts. Liquidity in these securities may reduce as the increased margin cost raises the barrier for leveraged participants.