Nifty 50 Rejig May See 4-6 New Additions; Adani Enterprises May Likely Be Added

The Nifty 50 rejig is scheduled for September 30 and it is on this date that the new constituents shall become effective. As per the sources cited by the leading business daily the inclusion to the Nifty 50 index could be the biggest in recent times. Also, the announcement on the same is expected by mid-August. The index shall likely see the addition of 4-6 new stocks that shall replace the existing ones.

Nifty 50 Rejig Soon: Adani Enterprises May Likely Be Added, Hero MotoCorp To Exit

As per market experts the new inclusions shall ensure that the index sustains its out-performance as against global indices.

Edelweiss-the equity research firm in its report has suggested that Adani Enterprises can be a major addition to the index. As per the brokerage, the stock is seen to replace Shree Cements. Considering the prescribed criteria, it shall be the second Adani Group stock to be included in the index after Adani Ports and Special Economic Zone. Further as per the research report, Hero Motocorp could see an exit from the index.

Criteria for stocks for inclusion in Nifty index

The major criteria for addition of stocks in the Nifty index is that they should be part of the NSE derivatives segment. So, stocks like Avenue Supermarts, Adani Greens as well as Adani Transmission that have a higher m-cap in comparison to other Nifty companies shall not be included as they are not the part of derivatives as yet.

Nifty Next 50 index rejigging

As per the Edelweiss report the Nifty Next 50 can see an inclusion of LIC, Tata Power, Adani Wilmar, Mphasis and IRCTC. They could replace Lupin Ltd , Jubilant Foodworks, Zydus Lifesciences, Punjab National Bank, Steel Authority of India and Adani Enterprises.