NBFC major Shriram Finance is likely to dislodge agro-chemical firm UPL in the Nifty50 during the March 2024 rebalancing exercise.
The move may lead to $245 million worth of passive buying in Shriram Finance and $107 million worth of selling in UPL, according to a report by Nuvama Alternative & Quantitative Research.
The cutoff date for calculating the changes to various Nifty indices is January 31.
The index provider typically announces the outcome of the rebalancing exercise in the second half of February and the changes become effective from March 31.
Nuvama also expects Canara Bank to replace Bandhan Bank in the Nifty Bank.It expects as much as seven changes in the Nifty Next 50 index, which along with the Nifty50, makes up for the Nifty 100 index.
Stocks in the Next 50 index are considered for inclusion in the Nifty50 index. Four PSU stocks are seen getting added to the Next 50 index. These are IRFC, PFC, REC and Union Bank. Meanwhile, the notable exclusions from the index are Colgate-Palmolive and Info Edge.
-- Samie Modak/Business Standard