What does it mean when a security is in BAN for Trade due to the breach of 95% of MWPL (i.e., 20% of non-promoter holding)?

What does it mean when a security is in BAN for Trade due to the breach of 95% of MWPL (i.e., 20% of non-promoter holding)?

When a security is placed under a BAN for Trade due to breaching 95% of the Market Wide Position Limit (MWPL), it signifies that the trading activity in that security has surpassed the prescribed regulatory limits. Specifically, if 20% of non-promoter holdings in security are breached, this action is prompted. This measure is enforced to maintain market integrity and prevent excessive speculation or manipulation. During the BAN period, certain restrictions may be imposed on trading activities for that security until the situation is rectified or normalized. 

 



    • Related Articles

    • How do I trade in the F&O securities which are currently categorized in the ban period?

      The securities that have crossed 95% of the market-wide position limit (MWPL) are currently categorized in the ban period. Trading in futures and options (F&O) securities during the ban period can be challenging. This is due to restrictions from the ...

    • Why is intraday trading not allowed for contracts if the underlying security is under a ban period?

      Intraday trading is restricted for contracts when the underlying security is under a ban period due to regulatory guidelines. According to these guidelines, clients are not allowed to open new positions or conduct intraday trades in F&O contracts of ...

    • What does delisting mean?

      Delisting occurs when a company permanently removes its shares from a stock exchange, making them unavailable for buying and selling on platforms like the NSE and BSE. The Securities and Exchange Board of India (SEBI) oversees this process. Here’s a ...

    • What is the 5Paisa Trade Station login process and various functions?

      Here is a comprehensive overview of the 5paisa trading platform, highlighting its key features and functionalities designed to empower your trading experience. Login and Security Login requires two-factor authentication (2FA) with a one-time password ...

    • Why did the e-Mandate registration fail?

      The e-Mandate registration may fail due to various reasons: · Incorrect login ID and password provided during registration. · The bank account linked to the mandate may have been closed. · The Mandate ID generated may have expired before the ...