NSE launches Nifty India Internet & Ecommerce Index; Zomato, Paytm among key constituents

NSE Indices, a subsidiary of the National Stock Exchange, has launched a new thematic index, Nifty India Internet & E-Commerce Index, to track the performance of 21 companies that do most of their business online.

These companies, drawn from the broader Nifty Total Market, include major e-commerce and internet-based brands such as Zomato, Paytm, Nykaa, ixigo, Infibeam Avenues, Angel One, and Indiamart Intermesh.

Composition and weightings

The weight of each stock in the index is based on its free-float market capitalization. The weight of each stock is capped at 20%

Food delivery and quick commerce aggregator Zomato holds the highest weight at 20.3%. Info Edge (India) follows with 18.83%, and PB Fintech, the parent company of PolicyBazaar, carries 16.72%. Paytm’s parent, One 97 Communications, and beauty platform Nykaa’s parent, FSN E-Commerce Ventures, each have weights between 7% and 8%.

From a sector perspective, consumer services dominate with a 65.32% share of the index, followed by financial services at 33.48%, and media, entertainment, and publication at 1.21%.

Base value and performance

The base date for the index is October 01, 2021, and the base value is 1000. The index will be reconstituted semi-annually and rebalanced on a quarterly basis.

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 may also initiate ad-hoc rebalancing in case of stock suspensions, delistings, or corporate restructuring.