The National Stock Exchange (NSE) is set to restructure Nifty indices on Wednesday as part of a half-yearly process. The rejig which will come into effect on Thursday is carried out based on stock performance.
Shriram Finance which was added to the Nifty 50 index is expected to receive the highest inflow of $188 million, according to Nuvama Alternative and Quantitative Research. It is likely to replace UPL, which is expected to see an outflow of $95 million.
HDFC Bank is likely to get $94 million in inflows, followed by Jio Financial Services with $80 million, NTPC with $66 million, Adani Power and Power Finance Corporation with $45 million each, Nuvama added.
The least inflows are expected to be seen in stocks like IRFC at $23 million and Bharti Airtel at $26 million. The total amount of inflows is expected to be $652 million.
Among stocks that are likely to see outflows are State Bank of India, ICICI Bank, ONGC, Reliance Industries, Kotak Mahindra Bank, Infosys and Bharat Electronics.
SBI is expected to see the highest inflow at $103 million followed by Infosys at $16 million, as per Nuvama.
The weightage of Nifty 50 constituents is also expected to be tweaked. Mahindra and Mahindra's weightage will increase from the current 1.7 per cent to 1.8 per cent and Bharti Airtel from 3.2 per cent to 3.3 per cent.
Among stocks that could see a slight slump in weightage are Reliance Industries, HDFC Bank and ICICI Bank.
In the Nifty CPSE index, PSUs like NTPC, NHPC and NLC India will see increased weightage with an expected cumulative inflows of $94 million. NTPC's weightage could increase from the current 17.9 per cent to 20 per cent while NHPC could rise from 4.2 per cent to 4.6 per cent and NLC India from 0.9 per cent to 1.2 per cent.
CPSE stocks likely to see maximum outflows are ONGC at $29 million, Coal India at $28 million and BEL at $20 million.
