SEBI launches ‘S+ Framework’ for intensive monitoring of BSE main board cos

To enhance market integrity besides safeguarding interest of investors, market regulator SEBI and the exchanges have introduced several enhanced pre-emptive surveillance measures including cut in price band, periodic call auction, transfer of securities to Trade-to-Trade (TT) category and graded surveillance measures, among others, from time to time. 
   
The market overseer introduced various measures in order to alert and advice investors to become extra cautious while dealing with such securities, besides advising market participants to deal conscientiously when dealing with such securities.  

In addition, SEBI also introduced a surveillance measure called ‘S+ Framework’ for more intense monitoring of securities exclusively listed on the main board of the BSE. These securities are not a part of GSM framework and do not witness a price rise in sync with the financial health and fundamentals of the company such as earnings or even witness an increase in volumes without any corporate event.  

The list of securities to be placed under the monitor of ‘S+ Framework’ will be informed to the market players separately, besides being available on the website. These securities will also be placed separately under group SS for securities being settled on a normal rolling basis and ST for securities being settled on TT basis.

Market sources also expect the imposition of additional restrictions on dealing in similar securities such as imposition of high transaction charges and imposition of weekly and monthly price bands, in addition to existing price bands, among others.