What are ASM Stocks?
ASM stands for Additional Surveillance Measure. Now the name itself has a hint if you take it. These are shares that are put under special surveillance. As mentioned above, sometimes there are stocks that might act weirdly when it comes to their volatility, price, or volume factor and this might leave the investors feeling stuck, this is where SEBI comes in. The apex body came out with the ASM concept in 2018 to safeguard investors’ money and goals. There is a list that these stocks are put on and that is the ASM stock list so that people can know that a stock is currently under surveillance. The company operates as usual and its functioning is not affected, only the share of the company is under surveillance, and that too as a security measure and nothing else. The stocks can exit this list by following the necessary process and also the list is divided into four stages depending on what level of surveillance is required for each stock.
The Complete ASM List Stocks
For active traders, it is very important that they know the stocks that are on the Additional Surveillance Measure reports so that their daily trading or long-term buy does not end up being in the wrong stock. Given below is the full list of stocks under ASM on BSE.
Adani Power is in Stage IV of the ASM list on BSE. TATA Investment is in Stage I of the ASM list on BSE. Shopper’s Stop is in Stage I of the ASM list on BSE. Jindal Worldwide is in Stage I of the ASM list on BSE. Jbm Auto is in Stage I of the ASM list on BSE. Elecon Engineering is in Stage I of the ASM list on BSE. D B Realty is in Stage I of the ASM list on BSE. Power Mech Projects is in Stage I of the ASM list on BSE. Madhya Bharat Agro Pro is in Stage IV of the ASM list on BSE. Genesys International is in Stage IV of the ASM list on BSE. Vadilal Industries is in Stage I of the ASM list on BSE. Repco Home Fin. is in Stage I of the ASM list on BSE. Hi-Strength Hypo is in Stage I of the ASM list on BSE. Vinyl Chemicals India is in Stage IV of the ASM list on BSE. XPro India Limited is in Stage III of the ASM list on BSE. Spacenet Enterprises India is in Stage IV of the ASM list on BSE. Ruby Mills is in Stage I of the ASM list on BSE. Bombay Super Hybrid is in Stage I of the ASM list on BSE. Specialty Restaurants is in Stage I of the ASM list on BSE. Marathon NextGen Rea is in Stage I of the ASM list on BSE. Bigloc Construction is in Stage IV of the ASM list on BSE. Arihant Superstructures is in Stage I of the ASM list on BSE. Rajnandini Metal is in Stage I of the ASM list on BSE. Sterling Tools is in Stage I of the ASM list on BSE. Royal Orchid Hotels is in Stage I of the ASM list on BSE. Bharat Wire Ropes is in Stage I of the ASM list on BSE. Asian Granito India is in Stage I of the ASM list on BSE. Orient Green Power is in Stage I of the ASM list on BSE. Chemfab Alkalis is in Stage I of the ASM list on BSE. Khadim India is in Stage I of the ASM list on BSE. Premier Explosives is in Stage I of the ASM list on BSE. Shivam Autotech is in Stage I of the ASM list on BSE. Kriti Inds. India is in Stage I of the ASM list on BSE. Kaya is in Stage I of the ASM list on BSE. Arshiya is in Stage II of the ASM list on BSE. De Nora India is in Stage I of the ASM list on BSE. Euro India Fresh Foods is in Stage I of the ASM list on BSE. Hind Rectifiers is in Stage I of the ASM list on BSE. Hardwyn India is in Stage I of the ASM list on BSE. Muthoot Capital Svs. is in Stage I of the ASM list on BSE. Max India is in Stage I of the ASM list on BSE. Shemaroo Entertainment is in Stage I of the ASM list on BSE. Orient Abrasives is in Stage I of the ASM list on BSE. Global Education is in Stage II of the ASM list on BSE. Deep Energyresources is in Stage I of the ASM list on BSE. Websol Energy Systems is in Stage I of the ASM list on BSE. Parsvnath Developers is in Stage I of the ASM list on BSE. Mcleod Russel India is in Stage I of the ASM list on BSE. Nath Bio Genes India is in Stage I of the ASM list on BSE. Vip Clothing is in Stage II of the ASM list on BSE. Bharat Road Network is in Stage I of the ASM list on BSE. Art Nirman is in Stage I of the ASM list on BSE. Akshar Spintex is in Stage I of the ASM list on BSE. Nila Infrastructures is in Stage I of the ASM list on BSE. Suumaya Industries is in Stage I of the ASM list on BSE. Kirloskar Elect.Co. is in Stage I of the ASM list on BSE. Total Transport Systems is in Stage I of the ASM list on BSE. Grp is in Stage I of the ASM list on BSE. Kritika Wires is in Stage II of the ASM list on BSE. Zee Learn is in Stage I of the ASM list on BSE. Zodiac Energy is in Stage I of the ASM list on BSE. Pansari Developers is in Stage I of the ASM list on BSE. Priti International is in Stage I of the ASM list on BSE. Palred Technologies is in Stage I of the ASM list on BSE. Byke Hospitality is in Stage I of the ASM list on BSE. AJR Infra and Tolling is in Stage I of the ASM list on BSE. Indo Thai Securities is in Stage I of the ASM list on BSE. Tembo Global Industries is in Stage I of the ASM list on BSE. Poddar Housing and Development is in Stage I of the ASM list on BSE. Rane Engine Valves is in Stage I of the ASM list on BSE. Sikko Industries is in Stage III of the ASM list on BSE. Nakoda Group of Industries is in Stage I of the ASM list on BSE. Atlanta is in Stage I of the ASM list on BSE. Lotus Eye Hospital and Institute is in Stage I of the ASM list on BSE. Umang Dairies is in Stage I of the ASM list on BSE. Suvidhaa Infoserve is in Stage I of the ASM list on BSE. Til is in Stage I of the ASM list on BSE. Motor and General Finance is in Stage I of the ASM list on BSE. Landmark Pr.Dev.Co. is in Stage I of the ASM list on BSE. Tainwala Chpt. India is in Stage I of the ASM list on BSE. Excel Realty N Infra is in Stage II of the ASM list on BSE. Vivimed Labs is in Stage I of the ASM list on BSE. Kanani Industries is in Stage I of the ASM list on BSE. Se Power is in Stage I of the ASM list on BSE. Global Vectra Helicorp is in Stage I of the ASM list on BSE. Cinevistaas is in Stage I of the ASM list on BSE. Madhav Copper is in Stage I of the ASM list on BSE. Orient Press is in Stage I of the ASM list on BSE. Nrb Industrial Bearings is in Stage I of the ASM list on BSE. Tera Software is in Stage I of the ASM list on BSE. Aarve Denims and Exports Ltd. is in Stage I of the ASM list on BSE. Super Spng.Mills is in Stage I of the ASM list on BSE. Sagardeep Alloys is in Stage I of the ASM list on BSE. Supreme Engineering is in Stage I of the ASM list on BSE. Manugraph India is in Stage I of the ASM list on BSE. Visagar Polytex is in Stage I of the ASM list on BSE. Sanginita Chemicals is in Stage I of the ASM list on BSE. Rollatainers is in Stage I of the ASM list on BSE. Hb Stockholdings is in Stage I of the ASM list on BSE. L C C Infotech is in Stage I of the ASM list on BSE. Tgb Banquets and Hotels is in Stage I of the ASM list on BSE. Orientel Trimex is in Stage I of the ASM list on BSE. Ravi Kumar Distilleries is in Stage I of the ASM list on BSE. Mohit Industries is in Stage I of the ASM list on BSE. Silly Monks Entm is in Stage I of the ASM list on BSE. Kavveri Telc.Prds. is in Stage I of the ASM list on BSE. Creative Eye is in Stage I of the ASM list on BSE. Norben Tea and Exports is in Stage I of the ASM list on BSE.
Also Read: GSM Stock List in the National Stock Exchange
Why was ASM Stocks List created?
To be part of any and every list there are certain criteria that need to be met and the same goes for Additional Surveillance Measure reports. There are a few things which when ticked off the share becomes eligible to be on an ASM stock list and these breaches are.
Close to close price variation Volume variation Price earning ratio Client concentration Delivery percentage of Unique PANs Market Capitalization High Low Variation
Different levels of breaches in the mentioned categories can lead to a stock being on an ASM list. Apart from this, there is also GSM or a Graded Surveillance list that exists. This surveillance measure was introduced in 2017 and has 6 stages. The shares that see abnormal growth in price, fixed assets, net worth, earnings, etc. are placed on this list. Such shares might belong to a company whose market capitalization is low and whose fundamentals also aren’t that great and yet their on-paper performance is totally opposite. Such shares are bloated up, and the mint is used for the wrong purposes, thus shares of such companies are put on the GSM list.
Stages of ASM
Additional Surveillance Measure Reports have painted a stark picture. More than 100 stocks were on the list and while many were just on stage 1, there were stocks from other stages as well. But what does each stage mean for the shareholder or the investor?
Stage 1: When a stock is on ASM list Stage 1 it means that the margin for them will be 80% and that too from T+3 days. Stage 2: The price band will be lowered to the next possible level and the margin will be 100% from T+3 days. Stage 3: Now the price band drops even further than in stage 2 and again the margin is 100% from T+3 days for all clients. Stage 4: The price band is limited to 5% and the settlement happens on a gross basis at a 100% margin.
If the stocks have completed a 90-day period in the ASM list and are back on track then they can get off it. There are weekly checks to update the current stage of ASM that a particular stock belongs to depending on what happens behind the scenes. It is the reason why you should pay extra attention to Additional Surveillance Measure reports.
What happens to Stocks in ASM List?
We know what Additional Surveillance Measure Reports are and how the stocks get there, but what happens to these stocks? Do they get blocked? Are you unable to sell them? Let’s look at the effects of getting into the ASM list for stocks and investors.
Firstly, the stocks on the ASM list are subject to even stricter measures than any normal share. This means these stocks cannot be pledged and further these stocks cannot be used for leverages as well as in case of cover order, bracket order, etc. Once a stock is added to the list, 5 days after that the stock margin stands at 100% which means no more margin trading. Usually, an investor would benefit from a 35 to 40% discount and would be able to do margin trading but being on the ASM list closes that door as well. This might be a 50-50 win-lose scenario, where a 5% circuit filter is placed on the stock in this list. This means that the particular share cannot fluctuate more than 5% from its last price be it upwards or downwards and this means the investment is pretty much stuck but safe, and it might be beneficial for long-term investors. In case of the right issue, bonus issues, dividends, stock split, etc. there is no change. The investors still get all these benefits and so that is one totally win-win news for the investors. The share volatility also drops as the 5% filter is in place. Low leverage causes the low volume of trading to drop. Also, these shares can no longer be given as collateral and thus, the liquidity of the investor also drops.
Short Term ASM vs Long Term ASM
There are two types of ASM lists that are long-term and short-term. The former has 4 stages while the latter has just 2 stages. While for long-term stocks there is direct action and their margin is changed, for short-term stocks first the company concerned is asked for an explanation which is then passed on to the market. For long-term stocks, they need to clear the stages one after the other and that is how they come out of the ASM list. They usually take more time to come out of the list. Short-term stocks are eligible for review after 5 to 15 days on the list and if they don’t meet the criteria of the list then they can get out after 6 to 16 days on the list. Short-term stocks can slip further and enter long-term lists if they are not careful in their operations. Also Read: Indian Stock Market Holidays
What Stocks can’t be on ASM List?
While the Additional Surveillance Measure reports are in the best interest of investors, some of the stocks on the stock market can not enter this list. Their special status or backing makes them eligible to be an exception and not show up on an ASM list. These companies are.
A government-owned company that is either stated to be a Public Sector Enterprise or Public Sector bank. If security is already on the Graded Security Surveillance list. Securities that have derivatives present also make the exception. If a stock is under the Trade to Trade segment.
