NSE Semi-Annual Review: ACC, Nykaa Out Of Nifty 100; PNB, TVS Motor Added
The index committee undertakes rebalancing of the indices twice a year, according to the NSE Indices calendar.
The index committee of the National Stock Exchange announced replacements on account of a semi-annual review of broad market indices on Thursday.
The index committee undertakes rebalancing of the indices twice a year, according to the NSE Indices calendar. The September rebalancing starts on Feb. 1 and ends on July 31. The changes will be effective from Sept. 29.
In the Nifty Next 50 and Nifty 100 indices, the companies to be excluded are ACC Ltd., FSN E-Commerce Ventures Ltd. (owner of Nykaa), HDFC Asset Management Co., Indus Towers Ltd. and Page Industries Ltd.
To replace these, Punjab National Bank, Shriram Finance Ltd., Trent Ltd., TVS Motor Co. and Zydus Lifesciences Ltd. will be included.
Additionally, Tata Motors Ltd. DVR will be added to the Nifty 100 index. The replacements will also be applicable to the Nifty 100 Equal Weight index.
No changes have been made in the Nifty 50 index.
Revisions In Nifty 200
Sectoral Indices
Under sectoral indices, a revamp has been done in Nifty Media, Nifty Realty, Nifty MidSmall Financial Services, Nifty MidSmall Healthcare and Nifty MidSmall IT and Telecom.
No changes have been made in Nifty Auto, Nifty Bank, Nifty Consumer Durables, Nifty Financial Services, Nifty Financial Services 25/50, Nifty Financial Services Ex-Bank, Nifty FMCG, Nifty Healthcare, Nifty IT, Nifty Metal, Nifty Oil and Gas, Nifty Pharma, Nifty Private Bank and Nifty PSU Bank indices.
Revision In P/B Value Calculation
The NSE has also revised the calculation of Price-to-Book Value (P/B) of indices. Instead of the existing standalone financials, the value will be calculated by taking into consideration net worth reported by each index constituent in the annual consolidated financial report.
According to the revised rule, "In case, consolidated financials of a company are not available, standalone financials in the annual financial report will be considered for that company."
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