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Explained – Nifty Indices (Nifty50, Nifty Next 50, Nifty 500 & 10 Others)

There are many popular indices in Indian stock markets. You already know Nifty50 and Sensex and you regular lookup for Nifty live or Sensex live data. But these aren’t the only indices as many of you already know.

There are several others as well – like Nifty100, Nifty Midcap 50, Nifty 500, etc. In fact, the NSE maintains around 13 broad market indices. These are:

  1. Nifty 50
  2. Nifty Next 50
  3. Nifty 100
  4. Nifty 200
  5. Nifty 500
  6. Nifty Midcap 50
  7. Nifty Midcap 100
  8. Nifty Midcap 150
  9. Nifty Smallcap 50
  10. Nifty Smallcap 100
  11. Nifty Smallcap 250
  12. Nifty LargeMidcap 250
  13. Nifty MidSmallcap 400

Wow! It can be confusing. And there are many more indices like the strategic ones. But let’s try to see how all the above-mentioned 13 indices are related to each other and fit into the broader index Nifty 500.

Below is shown the index hierarchy published by NSE (here) as shown below:

Nifty Index Broad Market India

Let’s try to understand the structure above:

NIFTY 500: This index sits at the top. It represents the top 500 companies based on full market capitalisation from the eligible universe. In a way, you can say that it includes all the other 12 indices within itself.

NIFTY 100: This represents the top 100 companies (i.e. from 1 to 100) from within the NIFTY 500. This index basically tries to track the performance of companies having large market caps.

NIFTY Midcap 150: This index represents the next 150 companies (i.e. companies ranked from 101 to 250) within the NIFTY 500. As is obvious, this index tries to measure the performance of mid-cap companies.

NIFTY Smallcap 250: This index represents the remaining 250 companies (ranked from 251 to 500) in the NIFTY 500. And you guessed it correctly; this index measures the performance of small-cap companies.

So as you see, the index Nifty 500 is basically made up of the following 3:

  • (1 to 100) – Nifty 100
  • (101 to 250) – Nifty Midcap 150
  • (251 to 500) – Nifty Smallcap 250

Nifty 500 Index constituents

Now, these 3 major indices themselves are made up of other individual indices.

The Nifty 100 has two parts:

Nifty 100 constituents

The Nifty Midcap 150 has two parts too:

  • NIFTY Midcap 50: This includes the top 50 companies from within the NIFTY Midcap 150 index.
  • NIFTY Midcap 100: This includes all the companies from NIFTY Midcap 50 above. The remaining companies are selected based on average daily turnover from NIFTY Midcap 150 index.

Nifty Midcap 150 constituents

The Nifty Smallcap 250 has the following two parts:

  • NIFTY Smallcap 50: It represents the top 50 companies selected based on average daily turnover from top 100 companies selected from the NIFTY Smallcap 250 index.
  • NIFTY Smallcap 100: It includes all companies from NIFTY Smallcap 50. And the remaining companies are selected based on average daily turnover from the top 150 companies selected from NIFTY Smallcap 250 index.

Nifty Smallcap 250 constituents

So till now, you have seen that at the top of the index hierarchy is the all-encompassing Nifty 500. From that we have 3 indices derived – (i) Nifty 100 (which is made up of Nifty 50 and Nifty Next 50); (ii) Nifty Midcap 150 (which is itself made up of Nifty Midcap 50 and Nifty Midcap 100) and (iii) Nifty Smallcap 250 (which is itself made up of Nifty Smallcap 50 and Nifty Smallcap 100)

Let’s check the remaining ones

NIFTY 200: This is basically made up of companies belonging to Nifty 50, Nifty Next 50 (or call it NIFTY 100) and the NIFTY Midcap 100.

NIFTY LargeMidcap 250: This includes all companies from NIFTY 100 and NIFTY Midcap 150. It intends to measure the performance of the large and mid-market capitalisation companies.

NIFTY MidSmallcap 400: This includes all companies from NIFTY Midcap 150 and NIFTY Smallcap 250. It intends to measure the performance of the mid and small market capitalisation companies.

Sounds complex no doubt. But if you once again have a look at the image below again, it seems quite logical:

Nifty Index Broad Market India

As per NSE, the calculation for the broad indices such as NIFTY 50, NIFTY Next 50, NIFTY 500, NIFTY 100, NIFTY Midcap 150, NIFTY Smallcap 250, NIFTY 200, NIFTY Midcap 50, NIFTY Midcap 100, NIFTY Smallcap 50, NIFTY Smallcap 100 and NIFTY MidSmallcap 400 are done online on all days that the National Stock Exchange of India is open for trading and disseminated through trading terminals and website and while that of NIFTY LargeMidcap 250 is computed at end of the day.

If you wish to read more about these individual indices, then click the links below:

  1. Nifty 50
  2. Nifty Next 50
  3. Nifty 100
  4. Nifty 200
  5. Nifty 500
  6. Nifty Midcap 50
  7. Nifty Midcap 100
  8. Nifty Midcap 150
  9. Nifty Smallcap 50
  10. Nifty Smallcap 100
  11. Nifty Smallcap 250
  12. Nifty LargeMidcap 250
  13. Nifty MidSmallcap 400

In addition to the above broad-based indices, NSE also has tons of other indices like NSE Sectoral Indices (about 11 indexes), NSE Thematic Indices (about 20 indexes) and finally NSE Strategy Indices (about 25+ index).

You can check out the fact sheets of all the above indices in once place here – Nifty Index Factsheets. And if you wish to track the Nifty live index data, then you can use this link – Live Nifty Index Data.

The idea of sharing these details is nothing to do with promoting Nifty and its indexes 🙂

It is rather to show how many other important indices are there which get overshadowed by the Nifty50 and Sensex. Atleast if you read the above details even casually, you will get an understanding of how these indices are related to one another and parts and sub-parts of each other.

And as the idea of index funds gradually gain acceptance in India, you will see more and more index funds being launched for various above-discussed indices.

The ones like Nifty 50 Index Funds and Nifty Next 50 Index Mutual Funds are already available and gaining popularity. The others ones like ones for Nifty 100 index fund, Nifty 100 equal-weight index fund, Nifty Midcap 100 index fund, Nifty Midcap 50 index fund, Nifty Smallcap 100 index fund, Nifty Midcap 150 index fund, Nifty 200 index fund will be launched by various fund houses in times to come.

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Written by Dev Ashish

Founder - Stable Investor Investing | Personal Finance | Financial Planning | Common Sense

One comment

  1. Just started investing in index funds myself. Intending to keep SIPs in actively managed funds at 50% and index 50+index next 50 as the remaining 50% (split 80/20). Reason being the actively managed funds seems to beat the index only around 45% of the time, hence it sounded like a safer play than actively looking at changes in fund manager, fund performance, etc. How do you see index funds playing a role in the portfolio of a say late 20s/early 30s investor?

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