NSE has issued Circular No. 321/2026 (Download Ref No: NSE/SURV/74028) dated May 04, 2026, notifying the applicability of Short-Term Additional Surveillance Measure (ST-ASM) to select securities. Three securities — FIDEL (Fidel Softech Limited), HFCL (HFCL Limited), and SPECTRUM (Spectrum Electrical Industries Limited) — have been included under ST-ASM Stage I. One security, CEDAAR (Cedaar Textile Limited), has been moved from ST-ASM Stage II to Stage I. No securities have been added to ST-ASM Stage II. The enhanced margin requirements are effective from May 06, 2026.

Key Points

• Three securities included in ST-ASM Stage I w.e.f. May 05, 2026: FIDEL, HFCL, and SPECTRUM
• SPECTRUM (Spectrum Electrical Industries Limited) satisfies criteria at BSE as well
• No securities added to ST-ASM Stage II (Nil)
• No securities moved from Stage I to Stage II (Nil)
• CEDAAR (Cedaar Textile Limited) moved from ST-ASM Stage II to Stage I w.e.f. May 05, 2026
• ASM framework operates in conjunction with all other prevailing surveillance measures
• Shortlisting under ASM is purely for market surveillance and should not be construed as adverse action against the concerned company

Regulatory Changes

This circular is issued further to Exchange Circular nos. NSE/SURV/39265, NSE/SURV/46557, NSE/SURV/52144, NSE/SURV/58558, and NSE/SURV/64066 dated October 27, 2018, December 04, 2020, April 28, 2022, September 25, 2023, and September 20, 2024 respectively, in respect of the Additional Surveillance Measure (ASM) framework.

ST-ASM Stage I Margin Rule: Applicable margin shall be 50% or existing margin, whichever is higher, subject to a maximum cap of 100%.

ST-ASM Stage II Margin Rule: Applicable margin rate shall be 100% or existing margin, whichever is higher, subject to a maximum cap of 100%.

Compliance Requirements

• NSE members must apply enhanced margin rates on all open positions in affected securities as on May 05, 2026
• Enhanced margins must also be applied to all new positions created from May 06, 2026
• Members must ensure compliance with ST-ASM Stage I margin requirements (minimum 50%, maximum 100%) for FIDEL, HFCL, SPECTRUM, and CEDAAR
• For queries, members may write to surveillance@nse.co.in
• Refer to NSE’s FAQs on Additional Surveillance Measure for more information

Important Dates

• May 04, 2026: Circular issued by NSE
• May 05, 2026: Effective date for inclusion/movement of securities under ST-ASM (FIDEL, HFCL, SPECTRUM added to Stage I; CEDAAR moved from Stage II to Stage I)
• May 06, 2026: Enhanced margin requirements applicable on all open positions as on May 05, 2026 and new positions created from May 06, 2026

Impact Assessment

Stocks Affected:

Trading Impact: Traders holding positions in FIDEL, HFCL, and SPECTRUM will face a minimum 50% margin requirement starting May 06, 2026, which may necessitate additional capital deployment or position reduction. CEDAAR traders benefit from reduced margin pressure as the stock moves from Stage II (100% margin) back to Stage I (50% minimum margin). The overall market impact is limited to affected securities only.