NSE Index Limited, a subsidiary of the National Stock Exchange, has launched India’s first index to track the electric vehicle and new age automobile segments. NSE said this is India’s first electric vehicle index. The new index is expected to act as a benchmark for asset management, becoming a reference index tracked by passive funds such as exchange traded funds (ETFs), index funds and structured products.
There are currently 17 thematic indices on the NSE. Apart from thematic indices Nifty Commodities, Nifty India Consumption, Nifty CPSE, Nifty Energy and Nifty Infrastructure, NSE operates 15 sector indices including broad market indices (like Nifty, Nifty Next 50, Nifty 100, Nifty 100 etc.) and Nifty Bank, Nifty Is. IT and Nifty Auto also operate this strategy index and fixed income index. The base date of the index is April 02, 2018 and the base price is 1000 points. Stocks that are or are likely to be a part of the Nifty 500 index at the time of review are eligible for inclusion in the index.
Announcement of reducing tick size
Recently, the National Stock Exchange (NSE) has decided to reduce the ‘tick size’ i.e. minimum price difference to one paisa for all shares priced below Rs 250 from June 10. Let us tell you that tick size tells the minimum price difference between two consecutive bid and offer prices. At present the tick size for these shares is five paise, which will be reduced to one paise. The move is aimed at enhancing liquidity and finding better value through more accurate price adjustments. Let us tell you that last year BSE had reduced the ‘tick size’ for shares trading below Rs 100 from five paise to one paise.
