FAQs Source: NSE, National Stock Exchange
- What are the weightages of different stocks in the Nifty 50 Index?
Sr.No. Company Name Sector Weightage 1 HDFC Bank Ltd. IT - Software 9.90% 2 Housing Development Finance Corporation Ltd. Finance - Housing 7.48% 3 Reliance Industries Ltd. Refineries 7.30% 4 Infosys Ltd. IT - Software 5.50% 5 ITC Ltd. Cigarettes/Tobacco 5.30% 6 ICICI Bank Ltd. Bank - Private 4.58% 7 Larsen & Toubro Ltd. Engineering - Construction 3.86% 8 Tata Consultancy Services Ltd. IT - Software 3.69% 9 Kotak Mahindra Bank Ltd. Bank - Private 3.58% 10 Maruti Suzuki India Ltd. Automobiles - Passenger Cars 3.01% 11 State Bank Of India Bank - Public 2.44% 12 Hindustan Unilever Ltd. Household & Personal Products 2.43% 13 Axis Bank Ltd. Bank - Private 2.30% 14 IndusInd Bank Ltd. Bank - Private 2.05% 15 Oil & Natural Gas Corporation Ltd. Oil Exploration 1.80% 16 Mahindra & Mahindra Ltd. Automobiles - Passenger Cars 1.64% 17 Yes Bank Ltd. Bank - Private 1.44% 18 Sun Pharmaceutical Industries Ltd. Pharmaceuticals & Drugs 1.39% 19 HCL Technologies Ltd. IT - Software 1.38% 20 Bharti Airtel Ltd. Telecommunication - Service Provider 1.34% 21 NTPC Ltd. Power Generation/Distribution 1.34% 22 Asian Paints Ltd. Paints 1.30% 23 Power Grid Corporation Of India Ltd. Power Generation/Distribution 1.22% 24 Vedanta Ltd. Metal - Non Ferrous 1.21% 25 Hero MotoCorp Ltd. Automobile Two & Three Wheelers 1.19% 26 Bajaj Finance Ltd. Finance - NBFC 1.16% 27 Tata Motors Ltd. Automobiles-Trucks/Lcv 1.16% 28 Bharat Petroleum Corporation Ltd. Refineries 1.05% 29 Ultratech Cement Ltd. Cement & Construction Materials 1.04% 30 Bajaj Auto Ltd. Automobile Two & Three Wheelers 1.03% 31 Indiabulls Housing Finance Ltd. Finance - Housing 1.02% 32 Tech Mahindra Ltd. IT - Software 1.02% 33 Titan Company Ltd. Diamond & Jewellery 1.01% 34 Grasim Industries Ltd. Diversified 1.00% 35 Eicher Motors Ltd. Automobile Two & Three Wheelers 0.97% 36 Tata Steel Ltd. Steel & Iron Products 0.96% 37 Indian Oil Corporation Ltd. Refineries 0.94% 38 Coal India Ltd. Mining & Minerals 0.93% 39 Wipro Ltd. IT - Software 0.82% 40 Zee Entertainment Enterprises Ltd. TV Broadcasting & Software Production 0.81% 41 Hindalco Industries Ltd. Metal - Non Ferrous 0.73% 42 Bajaj Finserv Ltd. Finance - NBFC 0.73% 43 Cipla Ltd. Pharmaceuticals & Drugs 0.70% 44 Adani Ports and Special Economic Zone Ltd. Port 0.69% 45 Bharti Infratel Ltd. Telecommunication - Service Provider 0.67% 46 Hindustan Petroleum Corporation Ltd. Refineries 0.66% 47 Dr. Reddys Laboratories Ltd. Pharmaceuticals & Drugs 0.65% 48 UPL Ltd. Pesticides & Agrochemicals 0.61% 49 GAIL (India) Ltd. Industrial Gases & Fuels 0.55% 50 Lupin Ltd. Pharmaceuticals & Drugs 0.45%
- How are stocks selected for Nifty 50?
- Here is the Eligibility Criteria for Selection of Constituent Stocks:
- 1. Market impact cost is the best measure of the liquidity of a stock. It accurately reflects the costs faced when actually trading an index. For a stock to qualify for possible inclusion into the NIFTY50, have traded at an average impact cost of 0.50% or less during the last six months for 90% of the observations, for the basket size of Rs. 100 Million.
- 2. The company should have a listing history of 6 months.
- 3. Companies that are allowed to trade in F&O segment are only eligible to be constituent of the index.
- 4. A company which comes out with an IPO will be eligible for inclusion in the index, if it fulfills the normal eligibility criteria for the index for a 3 month period instead of a 6 month period.
- When is the Nifty 50 list re-balanced?
- Nifty 50 Index is re-balanced on semi-annual basis. The cut-off date is January 31 and July 31 of each year, i.e. For semi-annual review of indices, average data for six months ending the cut-off date is considered. Four weeks prior notice is given to market from the date of change.
- Who manages the Nifty 50 Index?
- NIFTY 50 is owned and managed by India Index Services and Products Ltd. (IISL), a subsidiary of NSE Ltd. IISL is India's specialised company focused upon the index as a core product. A professional team at IISL manages NIFTY 50 Index (and all 67 other indices under the NIFTY brand). There is a three-tier governance structure comprising the Board of Directors of IISL, the Index Policy Committee and the Index Maintenance Sub-Committee.
- Why is the value of Nifty less than Sensex?
- Nifty 50 and BSE Sensex are indices and show change% of value over time. Here are the differences in these 2 indices,
- Sensex: Base year 1978-79, and the base value 100
- Nifty: Base year 1995, and the base value 1,000