The National Stock Exchange of India (NSE) on Thursday included Adani Enterprises, Adani Ports & SEZ and Ambuja Cements under the short-term additional surveillance measure (ASM).
The applicable rate of margin is 50% or the existing margin, whichever is higher, subject to a maximum of 100% on all open positions as on February 3 and new positions created from February 6.
Intraday trading in these stocks will require 100% upfront margin. The move is likely to curb speculation and short selling in these stocks.
The shortlisting of securities for placing in ASM is based on criteria such as price/volume variation, mcap, and delivery percentage as jointly decided by Sebi and the exchanges.
Shortlisting of securities under ASM is on account of market surveillance and does not imply an adverse action against the concerned companies. Brokers offering margin trading facility to their customers have already increased margin requirements on Adani group stocks in the past few days to as high as 70-80%, said people in the know. One of the leading brokers may put Adani Enterprises in its no-funding list.