Nifty MNC

NIFTY MNC Index

NIFTY MNC Index is a real-time thematic index on the National Stock Exchange (NSE) that tracks foreign-owned companies in India. Initially 15 constituents, it has since expanded to 30 stocks across 11 sectors. The index was launched in 1995 and has since breached the 19000 share price level. It is managed by NSE Indices Limited and has a three-tier structure: the Board of Directors, the Index Advisory Committee (Equity), and the Index Maintenance Sub-Committee. The NIFTY MNC Total Returns Index is ideal for benchmarking fund portfolios by AMCs and can be used for launching index funds, ETFs, and other structured investment products.

How are Stocks Selected for NIFTY MNCs?

The NIFTY MNC share price is calculated by weighing its 30 stocks based on a regularly limited free-float market capitalization compared to a base market capitalization value in real-time.

To be considered for inclusion in the NIFTY MNC index, the stocks must meet the following eligibility requirements: 

1. Should be listed on a national stock market.
2. Should be part of the NIFTY 500.
3. If the number of eligible stocks falls below 10, the shortfall number of stocks will be chosen from the universe of top 800 ranked companies based on both average daily turnover and average daily full market capitalization data from the NIFTY 500 universe over the past six months.
4. Should fall within the category of enterprises owned more than 50% by foreign promoters.
5. New securities will be added if their float-adjusted market capitalization exceeds 1.5 times that of the index's lowest constituent's free-float market capitalization.
6. A recently listed firm (IPO) may be included if it fulfils the aforementioned qualifying requirements for three months rather than six.
7. Should stick to the 10% cap for a single stock during rebalancing, although stock weightage may grow above 10% between rebalancing periods.

How is NIFTY MNC Calculated?

The index value is determined as follows: 

Index Value = Current Index Market Capitalization/(Base Free Float Market Capitalization * Base Index Value).

You can check the Nifty MNC stocks list with BlinkX.