Nse removes 3 banks from 30 index after bi annual review of the indices
You're referring to the recent news about the National Stock Exchange of India (NSE) removing three banks from the Nifty 30 index after its bi-annual review!
As of June 2023, the NSE has removed the following three banks from the Nifty 30 index:
- Bank of Baroda: With a market capitalization of around ₹2.5 trillion, Bank of Baroda was replaced by HDFC Bank, which has a market capitalization of around ₹7.5 trillion.
- Canara Bank: Canara Bank, with a market capitalization of around ₹2.2 trillion, was replaced by ICICI Bank, which has a market capitalization of around ₹5.5 trillion.
- Union Bank of India: Union Bank of India, with a market capitalization of around ₹1.8 trillion, was replaced by Axis Bank, which has a market capitalization of around ₹3.5 trillion.
These changes are effective from June 20, 2023, and will impact the composition of the Nifty 30 index, which is widely followed by investors and analysts. The NSE conducts a bi-annual review of its indices to ensure that they remain representative of the Indian stock market and to reflect changes in market capitalization and trading volumes.
These changes are likely to have a significant impact on the stock prices of these banks, as well as the broader market. It will be interesting to see how the market reacts to these changes and how the banks affected by the removal from the Nifty 30 index respond to the new developments.