The National Stock Exchange will replace Idea Cellular Limited and Bharat Heavy Electricals Limited with Indian Oil Corporation and Indiabulls Housing Finance Limited on its flagship Nifty 50 as part of a semi-annual index re-balancing. NSE group company India Index Services and Products Limited announced the changes on Thursday along with many others as part of the move, which is implemented based on several criteria.

On the Nifty Bank Index, Bank of India Limited will be replaced by IDFC Bank Limited. PI Industries Limited will replace Jindal Steel & Power Limited on the Commodities index, and Ratnamani Metals & Tubes Limited will replace Bhushan Steel Limited on the Metal index. Twenty-five companies will be replaced on the Nifty 500 Index, while Apollo Hospitals Enterprises Limited, Bharat Forge Limited and Castrol India Limited will be replaced by ICICI Prudential Life Insurance Company Limited, Petronet LNG Limited and Rural Electrification Corporation Limited on the Nifty 100.

Replacing Idea and Bhel with IOC and IHFL will increase the weightage of financial services and energy sectors on the Nifty 50, Bloomberg reported. While Financial services has the highest representation of all sectors with 32.01% weightage, energy is the third-highest, with 12.3%. The re-balancing takes place every six months, with the cut-off date for reviews being January 31 and July 31. A stock is replaced in a particular index either because of corporate actions or such as de-listing, or when a better performing stock is available in the replacement pool.