For Quick Alerts
ALLOW NOTIFICATIONS  
For Daily Alerts

As Nestle India’s Entry Becomes Effective, FMCG Share In Nifty Grows

|

On Friday, Nestle India's entry into NSE's benchmark index, Nifty 50, became effective. It will be replacing mortgage lender Indiabulls Housing Finance Ltd in Nifty 50 Equal Weight Index as well.

Shares of Nestle India Ltd, as well as Indiabulls Housing Finance, declined on the change.

As Nestle India’s Entry Becomes Effective, FMCG Share In Nifty Grows
 

Nestle India fell by as much as 2.4 percent to an intraday low Rs 13,600 while Indiabulls Housing Finance was down by over 3 percent to Rs 400.65.

Nestle's entry increases the weight of fast-moving consumer goods (FMCG) sector in Nifty 50 by 94 basis points to 9.2 percent. Private bank sector still has the highest presence in the index at 26 percent, followed by the IT sector (14.9 percent).

The 50-stock index that constitutes companies from various sectors of the economy is reviewed every six months and changes are accordingly made. A four-week notice is given to the markets before making a change.

The decision to make the change was informed on 28 August by the exchange.

The previous shuffle occurred in February when Hindustan Petroleum was replaced by Britannia Industries.

In the previous month, NSE said that stocks which are permitted to trade on its platform but are not listed on the exchange can also be considered for inclusion in the indices.

Story first published: Friday, September 27, 2019, 11:14 [IST]
Company Search
Get Instant News Updates
Enable
x
Notification Settings X
Time Settings
Done
Clear Notification X
Do you want to clear all the notifications from your inbox?
Settings X
We use cookies to ensure that we give you the best experience on our website. This includes cookies from third party social media websites and ad networks. Such third party cookies may track your use on Goodreturns sites for better rendering. Our partners use cookies to ensure we show you advertising that is relevant to you. If you continue without changing your settings, we'll assume that you are happy to receive all cookies on Goodreturns website. However, you can change your cookie settings at any time. Learn more