IISL, the index provider for National Stock Exchange(NSE), has included Bajaj Finserv, Grasim Industries and Titan in the Nifty 50 index. In a press release on Wednesday, the index provider said the three companies were being added as a substitute for Ambuja Cements, Aurobindo Pharma and Bosch who will cease to be a part of the index.
These changes will come in effect from April 2, 2018. Analysts say the addition of Bajaj Finserv would further increase the weight of financial services sector in the index. The sector already holds the maximum weight in the index of about 30%.
Newly listed companies also found favors in the current leg of index revisions by IISL as insurance companies General Insurance Company (GIC Re) and SBI Life have been included in the Nifty Next Fifty index.
Interestingly, Punjab National Bank (PNB) has been excluded from the Nifty Mid-cap index. The stock has been under tremendous pressure for the last two weeks after the alleged $2 billion fraud came to light.