The Index Maintenance Sub-Committee (Equity) of the National Stock Exchange (NSE) on August 17 announced rejig of various indices with effect from September 29, 2023. 

Indices that underwent the rejig are the Nifty Next 50, Nifty 500, Nifty 100, Nifty Midcap 150, Nifty Smallcap 250, Nifty Midcap Select, Nifty Midcap 50, Nifty Midcap 100, Nifty Smallcap 50, Nifty Smallcap 100, Nifty 200, Nifty LargeMidcap 250, Nifty MidSmallcap 400, Nifty Microcap 250 and Nifty Total Market. However, no changes were made to the benchmark Nifty 50 and Nifty 50 Equal Weight indices.

Adani-owned ACC, Nykaa, HDFC AMC, Indus Towers, and Page Industries will be excluded from the Nifty Next 50. These will be replaced by Punjab National Bank (PNB), Shriram Finance, Trent, TVS Motor, and Zydus Lifesciences. The Nifty 100 Index will see the same replacement with an additional inclusion of Tata Motors DVR. 

In the Nifty Midcap 150, Aavas Financiers, Affle (India), Alkyl Amines, Clean Science, Happiest Minds and PNB and 7 other stocks were excluded and replaced with 13 other stocks, including ACC, Nykaa, Bank of Maharashtra, HDFC AMC, RVNL and Indus Towers.

Meanwhile, the Nifty Smallcap 100 index will see the replacement of 19 stocks, including Bank of Maharashtra, Rail Vikas Nigam and TV18 Broadcast. NSE has also made changes to the broader Nifty 500 index, with a total of 18 companies set for replacement on September 29. 

NSE Indices, a subsidiary of NSE, maintains all these Nifty indices are maintained based on objective, non-discretionary, rules-based, pre-announced and transparent index methodologies. The specific method for each Nifty index may vary based on the objective of the index and the underlying market that the index seeks to represent.

NSE also revised the calculation method of indices’ price-to-book value (P/B). P/B for indices will be calculated by considering the networth reported by index constituents in the consolidated financial statements instead of standalone financials.