Why do NSE stocks have different series like EQ, BE, BZ, and SM? Learn how these codes help investors make decisions

Have you ever wondered why all securities that are traded on stock exchanges are placed under different types of series like EQ, SM, BE, ST, etc.? If you haven’t noticed yet, do check that every single security on the National Stock Exchange of India (NSE) will have a series code that is represented by two alphabets, or a combination of an alphabet and a number.

This is essentially to indicate the type of series that the security belongs to. The code helps investors for quick identification of the key characteristics of the product they are going to trade.

Importance of different series on NSE

The series code not only acts as an essential tool for managing risks but also ensures compliance with regulatory requirements and enhances surveillance capabilities.

These classifications also provide traders with critical insights into the restrictions associated with different securities. By understanding the series types, participants can make informed decisions aligned with their trading strategies and risk profiles.

• EQ (Equity): EQ is the normal trading series for equity shares. Most stocks that trade regularly fall under this series. For stocks under the EQ series, there are no restrictions on both intraday and delivery trades. For instance, all NIFTY 50 stocks belong to the ‘EQ’ category.
• BE (Book Entry): Stocks in the BE series can only be traded on a delivery basis, with no intraday trading allowed. The series was introduced to control excessive speculation or volatility in stocks that face surveillance or have undergone restructuring.
• BZ: Stocks under the BZ series are those with penalties, regulatory investigation, or undergoing corrective regulatory actions. Only delivery trades are allowed in them. ‘Buy Today Sell Tomorrow’ (BTST) and intraday trading of such stocks is not permitted.
• BT (Book Transfer): BT stocks are shares held in physical form. This type of series is to allow small investors to sell a maximum of 500 shares held in physical form.
• BL (Block deals): Stocks are under this series to enable a bulk order with a minimum quantity of 5 lakh stocks or ₹5 crore of value. Block deal transactions are executed through the block deal window from 9:15 am to 9:50 am.
• SM (Small and Medium Enterprises): This series lists SME stocks. The stocks in this series trade on NSE SME exchanges.
• ST: This series lists SME shares where delivery is compulsory.
• GS (Government Securities): This series for trading in government securities (G-Secs). It provides a platform to trade debt instruments issued by the government. Only delivery-based trading is permitted and intraday trading is not allowed.
• MF (Mutual Funds): This series facilitates the trading of Exchange-Traded Funds (ETFs) or units of mutual funds that are close-ended.
• RR: This series includes REIT (real estate investment trust) units.
• N0 to N10 Series/NA to NZ series: These are assigned to non-convertible debentures. These mainly include corporate bonds and other debt instruments. Each series represents a specific bond issuance by a company, typically for corporate debt or fixed-income trading. Here also, only delivery-based trading is permitted and intraday trading is not allowed.
• D1 to D9 series/DA to DZ series: These include fully convertible debt instruments. Only delivery-based trading is permitted and intraday trading is not allowed.