ADDITIONAL SURVEILLANCE MEASURE (ASM) - ECONOMY

News: BSE, NSE put Adani flagship under Additional Surveillance Measure

 

What is in the news?

       The BSE (Bombay Stock Exchange) and the National Stock Exchange (NSE) said that Adani Enterprises Ltd (AEL) was shortlisted in short-term Additional Surveillance Measure frame work Stage-I.

 

Additional Surveillance Measure framework:

About:

       The ASM was introduced in 2018 with the intention to protect investors from market volatility and unusual changes in share price.

 

Implemented by:

       Securities Exchange Board of India.

 

Functions:

       ASM in the stock market functions as a control measure for speculative trading to safeguard the interests of retail investors and keep them out of potentially dangerous trading situations.

       Two parts:

       Long-term ASM

       Short-term ASM

 

Criteria:

       The following criteria are used to select stocks for inclusion in ASM and were mutually decided upon by SEBI and Exchanges:

       Close-to-Close Price Variation

       Market Capitalization

       Volume Variation

       Delivery Percentage

       High Low Variation

       Client Concentration

       of Unique PANs.