YES Bank shares in focus as NSE bars YES Securities from adding new clients; here's why

YES Bank Ltd shares are in focus on Wednesday morning after the private bank in a filing to stock exchanges said NSE has prohibited its wholly-owned subsidiary YES Securities from onboarding any new clients for a period of three months from the date of the order and also imposed a monetary penalty of Rs 1 lakh. The fresh step was taken for passing on penalty pertaining to upfront or peak margin by the broking arm to clients.

YES Securities (India) is a subsidiary of YES Bank since 2013. It offers full-scale broking and investment products to retail, HNI, and institutional clients.

YES Bank insisted there is no material impact on the financials, operations or other activities of the lender. It said YES Securities (India) Limited is in the process of taking necessary corrective actions.

YES Bank shares are up 14 per cent in the past one month. Despite this, the scrip is flat for the six-month period.

In a filing to BSE, YES Bank said: "We hereby inform that YES Securities (India) Limited (subsidiary of YES Bank Limited) has received an order dated May 26, 2026 from National Stock Exchange of India Limited imposing the following penalty / prohibition on YES Securities (India) Limited as Trading Member: (a) Monetary penalty of Rs. 1 lakh for passing on penalty pertaining to upfront / peak margin to clients. (b) Prohibition from onboarding any new clients for a period of 3 months from the date of the order and imposition of monetary penalty of Rs. 1 lakh."

YES Bank last month clocked a 44.7 per cent year-on-year (YoY) jump in its standalone net profit for the March quarter compared with Rs 1,068.42 crore in the same quarter last year, up from Rs 738.12 crore in the corresponding quarter of the previous financial year. Its net interest income (NII) grew 16 per cent to Rs 2,637.7 crore for the quarter from Rs 2,276.36 crore in the corresponding quarter last year. 
YES Bank's Q4 gross non-performing assets (NPA) ratio improved to 1.3 per cent, (Rs 3,604.93 crore gross NPA) at the end of Q4 FY26, easing from 1.6 per cent, (gross NPA: Rs 3,935.61 crore) in the year-ago period.