Short-term Additional Surveillance Measure (ST ASM) is a framework by SEBI and stock exchanges to track stocks with unusual trading activity. It imposes temporary, stricter trading rules on highly volatile or speculative stocks to safeguard investors and ensure market stability.
ST- ASM (Additional Surveillance Measure) Stage 1
When a stock enters Stage 1 of the ST-ASM framework, margin requirements rise sharply, ranging from 50% to 100% depending on volatility. In this stage, intraday leveraged trading is banned, and only CNC (Cash and Carry) delivery trades are allowed, requiring full upfront payment.
Stocks under Stage 1 are reviewed weekly and may exit the list after 5-15 trading days if conditions improve. Trading remains permitted but with restrictions such as higher margins, no leverage, and delivery-only trades.
These measures aim to limit excessive speculation, control abnormal price movements, and ensure a fair trading environment. By imposing stricter rules, the framework protects small investors and strengthens overall market integrity.
Criteria for Exclusion from ST ASM
A stock placed under the Short-term ASM (ST-ASM) framework must remain there for 5 to 15 trading days before review. During this time, the exchange monitors for abnormal activity like sharp price swings or trades concentrated among a few investors.
If the stock no longer shows such risks, it may be moved to a lower stage or removed entirely. This system ensures only volatile or speculative stocks remain under ST-ASM, while stable ones are released.
Here is the list of stocks that have been shortlisted in the Short-Term ASM Framework:
Banco Products (India) Limited
With a market capitalization of Rs. 11,799.86 crore, the shares of Banco Products (India) Limited were currently trading at Rs. 824.95 per equity share. On September 22nd, Banco Products (India) was included in the ST-ASM Framework by the stock exchanges.
Banco Products (India) Limited was established in 1961. It designs and manufactures engine cooling systems like radiators and engine sealing gaskets for automotive and industrial applications. The company serves major vehicle manufacturers in India and exports globally, focusing on quality and innovation in its products.
Jaykay Enterprises Limited
With a market capitalization of Rs. 2,498.25 crore, the shares of Jaykay Enterprises Limited were currently trading at Rs. 191.75 per equity share. On September 22nd, Jaykay Enterprises was included in the ST-ASM Framework by the stock exchanges.
Jaykay Enterprises Limited produces synthetic yarns, fibers, and fabrics, and also manufactures chemicals and machinery. It serves sectors like textiles, cement, defense, and digital systems, focusing on innovation and diversified industrial products.
National Plastic Technologies Limited
With a market capitalization of Rs. 176.27 crore, the shares of National Plastic Technologies Limited were currently trading at Rs. 290 per equity share. On September 22nd, National Plastic Technologies was included in the ST-ASM Framework by the stock exchanges.
National Plastic Technologies Limited manufactures injection-molded plastic products mainly for the automotive, consumer electronics, and IT sectors. It operates multiple manufacturing plants across India, serving domestic and international markets with automotive and industrial plastic components.
Intense Technologies Limited
With a market capitalization of Rs. 334.57 crore, the shares of Intense Technologies Limited were currently trading at Rs. 142.26 per equity share. On September 22nd, Intense Technologies was included in the ST-ASM Framework by the stock exchanges.
Intense Technologies Limited is a global enterprise software company specializing in AI-powered platforms and mission-critical solutions for customer communications, data management, and digital transformation. The company serves industries like banking, telecom, insurance, and government globally.
Natural Capsules Limited
With a market capitalization of Rs. 231.64 crore, the shares of Natural Capsules Limited were currently trading at Rs. 224 per equity share. On September 22nd, Natural Capsules was included in the ST-ASM Framework by the stock exchanges.
Natural Capsules Limited manufactures hard gelatin and cellulose capsule shells for the pharmaceutical, herbal, and nutraceutical industries. It is one of the largest gelatin capsule producers in India, exporting globally and innovating with advanced manufacturing technology.
Written By – Nikhil Naik
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