Troubled private lender Yes Bank was dropped from benchmark index Nifty 50, banking index Nifty bank and other Nifty indices from 19 March
Mutual fund industry body Association of Mutual Funds in India (AMFI) has made a few changes in stock classification in its semi-annual review, adding six stocks in the large cap segment. The new classification will be effective from February to July.
As per the AMFI review released on Monday, the six stocks included in large cap segment are Yes Bank, Gland Pharma, Adani Enterprises, PI Industries, Jubilant Foodworks and Hindustan Agro.
Troubled private lender Yes Bank was dropped from benchmark index Nifty 50, banking index Nifty Bank and other Nifty indices from 19 March. Six-month average market cap of Yes Bank is ₹34,868.80 crore which gave it an entry to the large cap segment. Its current market cap stands at ₹45,098.83 crore on the BSE.
The cut off for the large cap segment is ₹28900 crore, whereas for mid cap it is ₹8389 crore. “Large cap stocks (Top 100) attribute 73.68%, Mid cap stocks (101-250) attribute 15.41% and small cap stocks (251 below) attribute 10.91% of the total market cap. With full market cap, the large cap classification has highest exposure to BFSI (25.3%), consumer (17%), IT (16.6%) and oil & gas (15%) sector," said Edelweiss Securities Limited.
Meanwhile, the stocks which were classified as mid cap from large cap are Concor India, NMDC, MRF, United Breweries, GIC of India, Bank of Baroda and Max Healthcare.
Stocks that have been classified to mid cap from small cap are Laurus Lab, Indiamart Intermesh, Dixon Technologies, Navin Fluorine, Astrazeneca Pharma, Deepak Nitrite, Bombay Burmah, Suven Pharma, P&G Healthcare, Granules India and Persistent Systems,
As per the circular released by Sebi in 2017, Indian mutual fund schemes have to be strictly categorized into below baskets with a well-defined classification of large cap, mid cap and small cap stocks.