Live tv
search
  1. You Are At:
  2. English News
  3. Business
  4. Markets
  5. Yes Bank to join NIFTY Next 50 Index

Yes Bank to join NIFTY Next 50 Index

Yes Bank share: Yes Bank is all set to be included in the Nifty Next 50 index. Yes Bank's inclusion in the Nifty Next 50 index is an indication that crisis-hit bank's financial health is improving.

India TV Business Desk Edited by: India TV Business Desk Mumbai Updated on: March 31, 2021 8:57 IST
Yes Bank share, Yes Bank NIFTY Next 50 Index
Image Source : PTI (FILE)

Yes Bank to join NIFTY Next 50 Index 

YES Bank shares ended 16.75 per cent higher on Tuesday at Rs 16.40 on the National Stock Exchange (NSE). The rally was driven by news reports suggesting the scrip will be included in the Nifty Next 50 index.

The NIFTY Next 50 Index represents 50 companies from NIFTY 100 after excluding the NIFTY 50 companies. In other words, NIFTY 50 and NIFTY Next 50 stocks together form the part of the large cap index NIFTY 100. While the top 50 stocks are based on free-float market cap is represented by NIFTY 50 stocks, the Next 50 is represented by NIFTY Next 50 stocks.

The index aims to measure the performance of next 50 large-cap companies. It represents about 10 per cent of the free float market capitalization of the stocks listed on the NSE.

The inclusion of Yes Bank in Nifty Next 50 index will help the company to see some inflows from domestic passive funds. The development is also an indication that the bank's financial health is improving. The crisis-hit private sector bank was once on the brink of insolvency because of its large bad loans and tumbling capital buffers. It was rescued by a consortium of banks led by the State Bank of India.

Yes Bank's inclusion in the Nifty Next 50 index also indicates that it has potential to enter the benchmark Nifty50 index in the future.

Back in January this year, Yes Bank was reclassified as large-cap stock by the Association of Mutual Funds in India (AMFI). 

Latest Business News

India@75