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Nifty Bank

December 31, 2015


The Nifty Bank Index is an index comprised of the most liquid and large capitalized Indian Banking stocks. It provides investors and
market intermediaries with a benchmark that captures the capital market performance of the Indian banks. The Index has 12 stocks
from the banking sector, which trade on the National Stock Exchange (NSE).
Nifty Bank Index is computed using free float market capitalization method, wherein the level of the index reflects the total free float
market value of all the stocks in the index relative to particular base market capitalization value.
Nifty Bank Index can be used for a variety of purposes such as benchmarking fund portfolios, launching of index funds, ETFs and
structured products.

Eligibility Criteria for Selection of


Constituent Stocks
i. Companies must rank within the top 500
companies ranked by average free-float
market capitalisation and aggregate turnover
for the last six months.
ii. Companies should form a part of the
Banking sector.

Index
Methodology

iii. The companys trading frequency should be


at least 90% in the last six months.
iv. The company should have reported a
positive net worth.
v. The company should have an investable
weight factor (IWF) of at least 10%.
vi. The company should have a listing history
of 6 months. A company which comes out
with an IPO will be eligible for inclusion in
the index, if it fulfills the normal eligibility
criteria for the index for a 3 month period
instead of a 6 month period.
vii. Final selection of 12 companies shall be
done based on the free-float market
capitalization of the companies.

Bloomberg:
CNXBANK Index
Thomson Reuters:
.NSEBANK
Contact Us:
Email: iisl@nse.co.in
Tel: +91 22 26598386
Fax: +91 22 26598120

Index Re-Balancing:
Index is re-balanced on semi annual
basis. The cut-off date is January 31 and
July 31 of each year, i.e. For semiannual review of indices, average data
for six months ending the cut-off date is
considered. Four weeks prior notice is
given to market from the date of change.

Index Govenance:
A professional team at IISL manages
Nifty Bank Index. There is a three-tier
governance structure comprising the
Board of Directors of IISL, the Index
Policy Committee, and the Index
Maintenance Sub-Committee.

Nifty Bank
December 31, 2015

Portfolio Characteristics
Methodology
No. of Constituents
Launch Date
Base Date
Base Value
Calculation Frequency
Index Rebalancing

Statistics
Free Float Market Capitalization
12
September 15, 2003
January 01, 2000
1000
Real-time Daily
Semi-Annually

1 Year Performance Comparison of Sector Indices

Since
1 Year 5 Years Inception
-9.68 -9.68
7.49
19.33

QTD YTD
Returns (%)# -1.33

1.23
0.89

Since
Inception
31.56
25.01
1.31
1.06
0.88
0.82

P/B
2.39

Dividend Yield
1.15

1 Year
Std. Deviation *
Beta (Nifty 50)
Correlation (Nifty 50)
Fundamentals
P/E
17.69

22.37

5 Years

Top 10 constituents by weightage


Companys Name

Weight
(%)

HDFC Bank Ltd.

30.83

ICICI Bank Ltd.

21.87

Axis Bank Ltd.

10.84

Kotak Mahindra Bank Ltd.

10.67

State Bank of India

9.99

IndusInd Bank Ltd.

6.80

Yes Bank Ltd.

3.42

Bank of Baroda

2.12

Federal Bank Ltd.

1.39

Punjab National Bank

1.24

# QTD,YTD and 1 year returns are absolute returns.Returns for greater than one year are CAGR returns.
* Average daily standard deviation annualised
Disclaimer: All information contained herewith is provided for reference purpose only. IISL ensures accuracy and reliability of the above information to the best of its endeavors. However, IISL
makes no warranty or representation as to the accuracy, completeness or reliability of any of the information contained herein and disclaim any and all liability whatsoever to any person for any
damage or loss of any nature arising from or as a result of reliance on any of the information provided herein. The information contained in this document is not intended to provide any
professional advice.

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