'Client concentration' prompts curbs on stocks, says exchanges

Officials said high speculative activity was seen in some of these counters, prompting the action

Leading bourses BSE and National Stock Exchange (NSE) said “client concentration” was among the why they had imposed trading restrictions on stocks.  On Wednesday, both BSE and NSE had imposed an “additional surveillance measure (ASM)” on 20 stocks. Under this, a stock is only allowed to move in a price band of five per cent. Additionally, trading members have to provide 100 per cent margins for dealing in these stocks. The list of stocks under ASM includes Vakrangee, Bombay Rayon Fashions, FCS Software Solutions and Gitanjali Gems. The move took traders by surprise.

“Shortlisting of securities for placing in