NSE Indices launches Nifty India Railways PSU Index

NSE’s index services subsidiary, NSE Indices Limited, launched a new thematic index –Nifty India Railways PSU. The Nifty India Railways PSU index tracks the performance of PSUs from the Nifty 500 which are either owned by the Ministry of Railways (classified as core group) or cater to the Indian Railways (classified as non-core group).

The weight of each stock in the index is based on its free-float market capitalization. The aggregate weight of stocks belonging to the core group is capped at 80% and the aggregate weight of stocks belonging to the non-core group is capped at 20%. The weight of each stock is capped at 20%.

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The base date for the index is April 01, 2021, and the base value is 1000. The index will be reconstituted semi-annually and rebalanced quarterly. The new index is expected to act as a benchmark for asset managers and be a reference index tracked by passive funds in the form of Exchange Traded Funds (ETFs), index funds, and structured products. 

NSE Indices Limited, a subsidiary of NSE, provides a variety of indices and index-related services for the capital markets. The company focuses on the index as a core product.

The company owns and manages a portfolio of indices under the Nifty brand of NSE, including the flagship index, the Nifty 50. Nifty equity indices comprise broad-based benchmark indices, sectoral indices, strategy indices, thematic indices, and customized indices.

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