As an ongoing measure of risk containment and surveillance as decided in the joint meeting between SEBI, Stock Exchanges and Clearing Corporations, an additional surveillance margin (ASM) for a market fall scenario is currently being levied as under:
- A potential scenario of 20% fall in all index/ securities is considered. Loss due to such fall on the portfolio after considering available margins is collected as additional surveillance margins for clients fulfilling specified criteria
Based on a periodic review and in consultation between SEBI, Stock Exchanges and Clearing Corporations, additional surveillance margins for potential market rise scenario shall also be levied as under:
- A potential scenario of 17.74% rise in all index/ securities shall be considered. Loss due to such rise on the portfolio after considering available margins and hedged positions, if any basis the holdings provided by depositories, shall be collected as additional surveillance margins for clients fulfilling specified criteria
Additional Surveillance margins as above shall be blocked from the collaterals of clearing member on T+1 day basis.
Members may note that ASM framework shall be in conjunction with the prevailing surveillance measures being imposed by Stock Exchanges/ Clearing Corporation.
Members may collect the above mentioned margins from their trading member/clients.
The effective date of implementation for criteria mentioned in point (2) above shall be informed in due course.
In case of any clarification, please contact on 022-2272 8759/8811.
For and on behalf of
Indian Clearing Corporation Limited
Piyush Chourasia
Chief Risk Officer & Head – Strategy
ICCL Risk Department
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