NSE Indices launches India's first ever EV index. Details here

NSE Indices Ltd, a subsidiary of the National Stock Exchange of India (NSE), has launched India's first thematic index to track the electric vehicle and new-age automobiles segment.

"We're thrilled to announce that NSE Indices has launched Nifty EV & New Age Automotive Index today. The Nifty EV & New Age Automotive Index aims to track the performance of companies which form a part of the EV ecosystem or are involved in the development of new age automotive vehicles or related technology," the exchange stated on Thursday.

"The index has a base date of April 02, 2018 and a base value of 1000. Stocks forming part / going to be a part of the Nifty 500 index at the time of review are eligible for inclusion in the index," it added.

NSE mentioned that the new index is expected to act as a benchmark for asset managers and be a reference index tracked by passive funds in the form of exchange traded funds (ETFs), index funds and structured products.

"The overall weight of the stocks belonging to the Group A (Manufacturing of 2W/3W/4W/PV/CV Electric and New age automotive vehicles) shall be capped at 40 per cent.
The weight of each stock belonging to Group A shall be capped at 8 per cent. All other stocks are capped at 4 per cent," the exchange further said.

The index is reconstituted semi-annually and to be rebalanced on a quarterly basis.

At present, there are 17 thematic indices on the NSE such as Nifty Commodities, Nifty India Consumption, Nifty CPSE, Nifty Energy and Nifty Infrastructure.