If Trent and Bharat Electronics (BEL) are included in the September review’s Nifty 50 index, they might draw inflows of approximately $900 million. The modifications will become effective on September 30 and will be made public on August 23. These two stocks will replace Divi’s Laboratories and LTIMindtree.
The firm estimates that Trent might experience about $470 million in inflows and BEL of about $410 million. Significant alterations are anticipated in the Nifty Bank and other significant indexes as well. The firm believes that Canara Bank would replace Bandhan Bank in the Nifty Bank index.
Ahead of the news, Trent’s stock shot up 23 percent over the previous month, while BEL and Canara Bank had declines of 3 and 7 percent, respectively. Canara Bank might receive $79 million in new business as a result of its inclusion in the Nifty Bank, whereas Bandhan Bank might lose $40 million as a result of its potential exclusion.
Many people follow the indexes while making passive investments. Nifty indexes are tracked by passive assets under management valued at $888.1 billion, according to the NSE. The benchmark index can only contain stocks that are permitted to trade in the futures and options segment, according to the exchange.
Before this, there were rumors that Zomato and Jio Financial would be able to join the Nifty provided Sebi allowed their inclusion in the derivatives sector. The proposed revised standards for stocks trading in the F&O segment as well as any prospective alterations to the list of equities that are presently trading in the segment have not yet been made public by the regulator.
