Dec 12, 2010

Nifty and Sensex Indices Constituents and Influence of their weight on weightage

Reliance, Infosys and ICICIbank covers more than 30% of Sensex, so when they move in a direction Sensex will be heavily influenced.
Adding LT, ITC, HDFC and HDFCbank, more than 50% Sensex is covered.
And, to this 7 another 7 more, making the Top 14 companies will make up 77% of the Sensex.
The details are in the Table and Chart below.

Nifty Index gets its weightage more than 50% from the Top 8 companies,
and more than 75% from the Top 20 companies.
The List of Constituents, their weightage, beta, R2 and market cap is given in the table and the weightage is given in the chart below:
So, if these 8 scrips make a concerted big move either side, Nifty would be swayed in that direction.

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