S&P BSE India Infrastructure Index launched
Our Mumbai Bureau
The Asia Index Pvt Ltd has launched S&P BSE India Infrastructure Index (the Index). The Index will measure the performance of the leading 30 companies (determined by market capitalisation) from five distinct infrastructure sectors - energy, transportation, non-banking financial institutions (NBFIs), telecommunications, and utilities, drawn from the S&P BSE 500 Index.
The S&P BSE India Infrastructure Index is designed to serve as both a benchmark and an investable index. The sectors for the S&P BSE Infrastructure Index are created by selecting relevant sub-industries from the Global Industry Classification Standard (GICS). One of the key highlights of the Index is inclusion of stocks from NBFIs, either categorised as an 'Infrastructure Finance Company' by Reserve Bank of India or having major revenue from infrastructure finance.
The S&P BSE India Infrastructure Index follows a modified market capitalisation weighted scheme which aims for diversification. Stocks are selected and weighted to ensure that the Index is investable. The weight of each infrastructure sector is capped at 30 per cent and individual stocks' weight is capped at 10 per cent.