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News Topical, Digital Desk : The Bombay Stock Exchange (BSE) has decided to impose revised price bands on the shares of 57 companies, effective October 27, 2025. This move aims to prevent unusual trading activity and protect investors from potential risks. The BSE identifies stocks that experience sudden volume or price fluctuations. The exchange takes necessary action under its regular surveillance mechanism. Under this, the price bands of several stocks may be reduced by 2%, 5%, and 10%.
BSE's surveillance measures include reducing the price band, putting a stock in the trade-to-trade segment, imposing special margins, and suspending the stock or member if necessary. Price bands are set for each stock to prevent a sudden increase or decrease in the stock price. If a stock shows unusual volatility, a stricter price band is imposed.
When is special margin imposed? Special margins are imposed when there is an unusual increase in the price or trading volume of a stock. In such situations, BSE can impose special margins of 25 percent, 50 percent, or even 75 percent. Its purpose is to protect investors from huge losses due to rumors or speculation.
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