To
All Trading Members of the Exchange
Sub: Periodic Call Auction for illiquid scrips
Trading members were advised vide Exchange notice no 20130328-12 dated March 28, 2013 regarding introduction of Periodic Call Auction for illiquid scrips w.e.f. April 8, 2013. Stock exchanges identify illiquid scrips at the beginning of every quarter and move such scrips to periodic call auction mechanism.
As per SEBI circular no. CIR/MRD/DP/6/2013 dated February 14, 2013, a scrip is classified as illiquid, if all the following conditions are met:
- The average daily trading volume of a scrip in a quarter is less than 10000;
- The average daily number of trades is less than 50 in a quarter;
- The scrip is classified as illiquid at all exchanges where it is traded.
Trading in illiquid scrips in the equity market shall be conducted only through periodic call auction sessions.
Scrip will be moved out from periodic call auction mechanism to normal trading session if the following criteria are met
1. The scrip has remained in periodic call auction for at least two quarters
2. It is not classified as illiquid as per criteria mentioned above.
Accordingly, a list of scrips which are currently traded under periodic call auction mechanism and will continue to be traded in this mechanism is enclosed as Annexure I Further, a list of newly added scrips, which meet the conditions mentioned above is enclosed as Annexure II. These scrips will be traded only under periodic call auction mechanism w.e.f July 8, 2013.
Trading members are advised to exercise additional due diligence while trading in these securities either on own account or on behalf of their clients.
For any clarifications, members are advised to contact Ms.Shaila Valsan on 022-2272 8316 or Mr.Rajesh Kumar Dubey on 022-2272 8350.
Sydney Miranda Shaila Valsan
Asst. General Manager Associate Manager
Surveillance & Supervision Surveillance & Supervision
Date: July 1, 2013
Encl: As above |