Major changes are coming to NSE indices next month. Some stocks will benefit from these changes, while others will face losses.
Stocks to Exit Nifty50
In the upcoming adjustments to the Nifty50 index, Tata’s Trent and Bharat Electronics will be included. However, LTI Mindtree and Divis Laboratories will be removed from Nifty50. The NSE Indices Index Maintenance Sub-Committee (Equity) finalized these changes on Friday. The new list will take effect after market close on September 27.
Stocks Joining Nifty Next50
In the Nifty Next50 index, new entries will include Bharat Heavy Electronics, Divis Laboratories, JSW Energy, LTI Mindtree, Macrotech Developers, NHPC, and Union Bank of India. Berger Paints India, Bharat Electronics, Colgate Palmolive (India), Marico, SBI Cards and Payment Services, SRF, and Trent will be removed from this index.
Changes in Nifty Bank and Nifty 500
For the Nifty Bank index, Canara Bank will join, while Bandhan Bank will be removed. The Nifty 500 index will see 26 stocks removed, including Vodafone Idea, Vaibhav Global, Ather Industries, All Cargo Logistics, Anupam Rasayan, Borosil Renewables, CSB Bank, DCM Shriram, JK Paper, KRBL, MTAR Tech, and Restaurant Brands India.
Twice a Year Rebalancing
The NSE makes changes to its various indices twice a year. This will be the second semi-annual adjustment for this year. Changes in Nifty indices are based on average free float market capitalization.
