Business

NSE to Review Composition of Market Indices

 The Nigerian Stock Exchange (NSE) 30 Index, NSE 50 Index and the other five sectoral indices will be reviewed at the end of this month, the exchange said yesterday.

 The five sectoral indices are: NSE Banking, NSE Consumer Goods, NSE Oil & Gas, NSE Industrial, NSE Insurance and NSE Lotus Islamic Index.

According to the NSE, the composition of these indices, after the review effective July 1, will witness some changes. It said while some major companies will move out of the indices, others will enter.

 The NSE 30 Index, for instance,  five companies-Ashaka Cement Plc, Seven-Up Bottling Company Plc, Sterling Bank Plc, Mobil Oil Nigeria Plc and Conoil Plc are likely to enter.

On the other hand, Skye Bank Plc, Total Nigeria Plc, Fidelity Bank Plc, Glaxo Smithkline Consumer Plc and FCMB Group Plc are to exit.

In the case of the  NSE 50 Index, Champion Breweries Plc, Beta Glass Company Plc, NAHCO Plc and UBA Capital Plc are expected to enter, while WAPIC Insurance Plc, Continental Reinsurance Plc, MRS Oil Nigeria Plc, Cement Company of Northern Nigeria  Plc and Unity Bank Plc are likely to exit.

With respect to Banking Index, Sterling Bank  and Unity Bank Plc will be  in while Wema Bank Plc and Fidelity Bank Plc will be out.

For  NSE Oil & Gas Index,  Japaul Oil Maritime Services Plc and  Beco Petroleum Products Plc will be  come in, while Eterna Plc and MRS Oil Nigeria Plc will be out.

 According to the exchange, the stocks picked based on their market capitalisation from the most liquid sectors.

 “The liquidity is based on the number of times the stock is traded during the preceding half year. To be included, the stock must be traded for at least 70 per cent of the number of times the market opened for business,” the exchange explained.

 Meanwhile, trading at the stock market remained bearish as the NSE All-Share Index fell for  the second day, shedding 0.76 per cent to close at 41,135.40.

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