Nifty MidSmallcap 400 Index Review: Ola Electric, NTPC Green, Reliance Power, Vishal Mega, 28 other stocks to enter

Nifty MidSmallcap 400 Index Semi Annual Review, Nifty MidSmallcap 400 Rebalancing: Stock exchange NSE on Friday announced a number of changes in its indices including the Nifty 50, Nifty Next 50 and Nifty MidSmallcap 400 gauges. With effect from the opening on March 28 (or the closing the previous day), the Nifty MidSmallcap index will have 32 inclusions and an equal number of exclusions.

Nifty MidSmallcap 400 Semi-Annual Reshuffle | Inclusions & Exclusions | What is being added to and what is being removed from the broader index?

According to NSE, the following inclusions and exclusions will be implemented in the Nifty MidSmallcap 400 index:

What is an index rejig or index reshuffle? Does it impact the market prices of securities?

Also known as index rebalancing, an index reshuffle is a periodic review of a stock market index's components.

This rebalancing process involves the inclusion and/or exclusion of scrips from the index to ensure it continues to be in alignment with its underlying methodology.

Typically, the inclusion of a stock in an index leads to inflows for the stock owing to larger visibility and exposure to institutional players such as banks and mutual funds.

On the other hand, the exclusion of a stock from an index may lead to a fall in its price owing to decreased demand.

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