Nifty 50 Weightage Stocks ( July 2022)
There are two major stock market indices used in India; one of them is the NIFTY 50 and the other is the BSE SENSEX. NIFTY 50 is the weighted average of fifty of the largest Indian companies listed on the National Stock Exchange. In this post, we will discuss in detail about the Nifty 50 Weightage stocks.
NIFTY 50 is the most actively traded index in the world, with an ecosystem encompassing exchange-traded funds (onshore and offshore), exchange-traded options at NSE and futures and options at SGX.
NIFTY 50 is a free float market capitalization weighted index. It was originally calculated using a full market capitalization approach. On 26 June 2009, the NIFTY 50 index calculation was changed to a free-float methodology.The base period for the index is 3 November 1995, which marks the anniversary of the National Stock Exchange Equity Market Segment. The base value of the index is set at 1000 and the base capital is 2.06 trillion dollars.
NIFTY 50 INDEX RETURNS ( AS ON JULY 2022)
| INDEX RETURNS (%) | QTD | YTD | 1 YEAR | 5 YEAR | Since Inception |
| Price Return | -9.65 | -9.07 | 0.37 | 10.63 | 1668 |
| Total Return | -9.11 | -8.75 | 1.66 | 12.04 |
Nifty 50 Index Sector Representation :
| Sector | Weightage |
|---|---|
| Financial Services | 35.10 |
| Information Technology | 15.91 |
| Oil, Gas & Consumable Fuels | 14.78 |
| Fast Moving Consumer Goods | 8.44 |
| Automobile and Auto Components | 5.98 |
| Healthcare | 4.00 |
| Consumer Durables | 2.93 |
| Construction | 2.72 |
| Metals & Mining | 2.51 |
| Telecommunication | 2.39 |
| Power | 2.03 |
| Construction Materials | 2.02 |
| Services | 0.70 |
| Chemicals | 0.49 |
Nifty 50 Weightage ( Top Constituents by Weightage)
| Company’s Name | Weight ( in %) |
|---|---|
| Reliance Industries | 12.94 |
| HDFC Bank | 8.55 |
| Infosys | 7.73 |
| ICICI bank | 7.11 |
| HDFC | 5.68 |
| TCS | 4.89 |
| Kotak | 3.53 |
| ITC | 3.46 |
| HUL | 2.88 |
| LT | 2.72 |
| Axis Bank | 2.4 |
NIFTY 50 Index Methodology
Eligibility Criteria for selecting NIFTY 50 constituent stocks
- The liquidity of a stock can be measured by its market impact cost. As a result, it accurately reflects the costs associated with actual trading on the indices. To qualify for inclusion into the NIFTY50, a stock must have traded at an average impact cost of 0.50% or less for 90% of the observations, for a basket size of Rs. 100 million.
- It is recommended that the company has a listing history of six months.
- A company can only be a constituent of the index if it is allowed to trade in the F&O segment.
- In the case of an IPO, if the company meets the normal eligibility criteria, it will be included in the index for a period of three months instead of six.
Check SGX Nifty Live here
NIFTY 50 Index Re-balancing
Indexes are rebalanced semi-annually. Each year, the cut-off date is January 31 and July 31. Semi-annual review of indices using average data for the six months ending the cut-off date is considered .
The market is given four weeks’ notice from the date of the revision.
NIFTY 50 Index Governance
All NSE indices are managed by a professional team. NSE has a three-tiered governance structure, including the Board of Directors of Indexes Limited, the Index Advisory Committee and the Index Maintenance Subcommittee.
