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News Topical, Digital Desk : The Bombay Stock Exchange (BSE) has implemented a circuit filter (Revised Price Band) on 73 stocks effective September 29, 2025. This move by the BSE aims to curb unusual trading activity and protect investors from potential risks. Stocks that experience sudden volume or price fluctuations are selected by the BSE under its regular surveillance mechanism and then necessary action is taken. As a result, the price band of several stocks has been reduced to 2%, 5%, and 10%.
BSE's surveillance measures include lowering circuit filters, placing a stock in the trade-to-trade segment, imposing special margins, and suspending shares or members if necessary. The BSE sets a price band for each stock to prevent a sudden sharp rise or fall in its price. If a stock exhibits unusual volatility, a stricter band is imposed.
Why is a Special Margin imposed? Special margins are imposed when a stock experiences an unusual increase in price or trading volume. In such situations, the BSE may impose special margins of 25%, 50%, or even 75%. Its purpose is to protect investors from significant losses due to rumors or speculation. The primary objective of such surveillance actions is to maintain transparency in the stock market, prevent any manipulation of stock prices, and protect the interests of investors.
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