Nifty 100 Equal Weight

The table below shows the Nifty 100 Equal Weight based on the Highest Market Capitalization.

To know more about the Nifty 100 Equal Weight, refer to: Nifty 100 Equal Weight

Nifty 100 Equal Weight Meaning

Nifty 100 Equal Weight is an index where each of the 100 companies included has an equal weightage, meaning each stock contributes equally to the index’s performance. This approach contrasts with market-cap-weighted indices, aiming to reduce concentration risk and provide more balanced exposure across all constituent companies.

Features Of The Nifty 100 Equal Weight

The primary feature of the Nifty 100 Equal Weight Index is that it offers an equal allocation to all 100 constituent stocks, ensuring diversification and reducing the impact of any single stock on the overall performance. 

1. Balanced Exposure: Each stock in the index is given an equal weight, providing balanced exposure across all constituent companies.

2. Diversification: The equal weighting strategy enhances diversification, reducing the risk associated with individual stock volatility.

3. Reduced Bias: By not overemphasizing large-cap stocks, the index reduces the bias towards larger companies.

4. Periodic Rebalancing: The index undergoes periodic rebalancing to maintain equal weight among all stocks, ensuring consistent investment distribution.

5. Broad Market Representation: The Nifty 100 Equal Weight Index represents a wide range of sectors, offering a comprehensive view of the market.

Nifty 100 Equal Weight Stocks Weightage

The table below shows the Nifty 100 Equal based on the Highest Weights.

Nifty 100 Equal Weight

The table below shows Nifty 100 Equal Weight based on one year’s return.

How To Buy Nifty 100 Equal Weight?

To buy the Nifty 100 Equal Weight Index, open a brokerage account, fund it, and search for ETFs or mutual funds tracking the Nifty 100 Equal Weight Index. Place a buy order for the desired number of units. Ensure regular monitoring and rebalancing as necessary.

Advantages of Nifty 100 Equal Weight

The main benefits of investing in the Nifty 100 Equal Weight index include the equal distribution of investment across all constituent stocks, promoting diversification, and reducing the risk associated with the over-concentration of any single stock.

1. Diversification: Equal weight distribution helps in spreading the investment across a variety of stocks, minimizing individual stock risk.

2. Reduced Volatility: By not being overly reliant on the largest companies, the index tends to experience less volatility compared to market-cap-weighted indices.

3. Improved Returns: Historical data suggests that equal-weight indices often outperform their market-cap-weight counterparts due to the benefits of diversification and periodic rebalancing.

4. Rebalancing Discipline: Regular rebalancing to maintain equal weight ensures systematic buying low and selling high, potentially enhancing returns.

5. Exposure to Smaller Companies: The index provides greater exposure to mid-cap and smaller companies, which can contribute to higher growth potential within the portfolio.

Disadvantages of Nifty 100 Equal Weight

The main disadvantage of investing in the Nifty 100 Equal Weight Index is the potential for lower returns compared to a market-cap-weighted index, as equal weightings may dilute the impact of high-performing stocks.

1. Higher Volatility: The equal-weight structure can result in greater volatility due to the larger exposure to smaller companies.

2. Increased Turnover: Frequent rebalancing to maintain equal weights can lead to higher transaction costs and increased turnover.

3. Lower Liquidity: Smaller companies included in the index may have lower liquidity, making it harder to buy or sell large positions without affecting the stock price.

4. Diversification Limits: Equal weighting can lead to over-diversification, where the impact of well-performing stocks is diluted by the underperformance of others.

5. Benchmark Deviation: The performance of the equal-weight index can significantly deviate from the market-cap-weighted benchmarks, potentially leading to underperformance during bull markets.

Introduction to Top Nifty 100 Equal Weight

Reliance Industries Ltd

The Market Cap of Reliance Industries Ltd is Rs 2002982.99 crore. The stock’s monthly return is 2.89%. Its one-year return is 24.93%. The stock is 4.15% away from its 52-week high.

Reliance Industries Limited is a company based in India that is involved in various activities such as hydrocarbon exploration and production, petroleum refining, marketing, petrochemicals, advanced materials, composites, renewables (solar and hydrogen), retail, and digital services. 

The company operates in segments including Oil to Chemicals (O2C), Oil and Gas, Retail, and Digital Services. The O2C segment comprises refining, petrochemicals, fuel retailing, aviation fuel, bulk wholesale marketing, transportation fuels, polymers, polyesters, and elastomers. Its assets in the O2C business include aromatics, gasification, multi-feed and gas crackers, downstream manufacturing facilities, logistics, and supply-chain infrastructure. 

Tata Consultancy Services Ltd

The Market Cap of Tata Consultancy Services Ltd is Rs. 13,927.79 crore. The stock’s monthly return is -1.37%. Its one-year return is 16.96%. The stock is 11.65% away from its 52-week high.

Tata Consultancy Services Limited (TCS) is an Indian company that offers information technology (IT) services, consulting, and business solutions. It serves various industries including Banking, Capital Markets, Consumer Goods and Distribution, Communications, Media, and Information Services, Education, Energy, Resources, and Utilities, Healthcare, High Tech, Insurance, Life Sciences, Manufacturing, Public Services, Retail, and Travel and Logistics. 

Its services encompass Cloud, Cognitive Business Operations, Consulting, Cybersecurity, Data and Analytics, Enterprise Solutions, IoT and Digital Engineering, Sustainability Services, TCS Interactive, TCS and AWS Cloud, TCS Enterprise Cloud, TCS and Google Cloud, as well as TCS and Microsoft Cloud.

HDFC Bank Ltd

The Market Cap of HDFC Bank Ltd is Rs. 1153545.70 crore. The stock’s monthly return is 14.33%. Its one-year return is 1.84%. The stock is 5.51% away from its 52-week high.

HDFC Bank Limited, a financial services conglomerate, offers a wide range of financial services including banking, insurance, and mutual funds through its subsidiaries. The bank provides various services such as commercial and investment banking, branch banking, and digital banking. Its Treasury segment comprises revenue from interest on investments, money market activities, gains or losses from investment operations, and trading in foreign exchange and derivatives.

The Retail Banking segment focuses on digital services and other retail banking activities, while the Wholesale Banking segment caters to large corporates, public sector units, and financial institutions by providing loans, non-fund facilities, and transaction services.  

Bharti Airtel Ltd

The Market Cap of Bharti Airtel Ltd is Rs. 826210.70 crore. The stock’s monthly return is 1.73%. Its one-year return is 68.78%. The stock is 2.82% away from its 52-week high.

Bharti Airtel Limited is an international telecommunications company that operates in five key sectors: Mobile Services, Homes Services, Digital TV Services, Airtel Business, and South Asia. In India, the Mobile Services segment offers voice and data telecommunications using 2G, 3G, and 4G technologies. Homes Services provides fixed-line phone and broadband services in 1,225 cities across India. 

The Digital TV Services segment includes standard and HD digital TV services with 3D features and Dolby surround sound, offering a total of 706 channels, including 86 HD channels, 4 international channels, and 4 interactive services. Airtel Business specializes in providing information and communications technology (ICT) services to various entities such as enterprises, governments, carriers, and small to medium businesses. 

ICICI Bank Ltd

The Market Cap of ICICI Bank Ltd is Rs. 795799.95 crore. The stock’s monthly return is 2.26%. Its one-year return is 25.30%. The stock is 1.24% away from its 52-week high.

ICICI Bank Limited, an India-based banking company, offers a variety of banking and financial services through its six segments. These segments include retail banking, wholesale banking, treasury operations, other banking activities, life insurance, and other ventures. The bank also operates both domestically and internationally through its geographical segments.

State Bank of India

The Market Cap of the State Bank of India is Rs. 739493.34 crore. The stock’s monthly return is 2.81%. Its one-year return is 47.66%. The stock is 9.05% away from its 52-week high.

The State Bank of India is a banking and financial services provider headquartered in India. The company offers a diverse range of products and services to individuals, commercial enterprises, corporates, public bodies, and institutional customers. Its operations are divided into segments such as Treasury, Corporate/Wholesale Banking, Retail Banking, Insurance Business, and Other Banking Business. 

The Treasury segment focuses on investment and trading in foreign exchange and derivative contracts. The Corporate/Wholesale Banking segment includes lending activities for corporate accounts, commercial clients, and stressed assets resolution. The Retail Banking Segment provides personal banking services, including lending activities for corporate customers with banking relationships with its branches.

Life Insurance Corporation Of India

The Market Cap of the Life Insurance Corporation Of India is Rs. 651316.64 crore. The stock’s monthly return is 4.90%. Its one-year return is 60.99%. The stock is 14.75% away from its 52-week high.

Life Insurance Corporation of India (LIC) is an insurance company headquartered in India that provides life insurance services both domestically and internationally. LIC offers a variety of insurance solutions for individuals and groups, including participating, non-participating, and unit-linked options. 

The company’s product portfolio includes a range of insurance and investment products such as protection, pension, savings, investment, annuity, health, and variable products. LIC is organized into different segments such as Life Individual, Participating Pension Individual, Participating Annuity Individual, Non-Participating Life (Individual & Group), Non-Participating Pension (Individual & Group), Non-Participating Annuity Individual, Non-Participating Variable Individual, Non-Participating Health Individual, and Non-Participating Unit Linked.  

Infosys Ltd

The Market Cap of Infosys Ltd is Rs. 606591.74 crore. The stock’s monthly return is 5.08%. Its one-year return is 17.96%. The stock is 13.07% away from its 52-week high.

Infosys Limited is a company based in India that offers consulting, technology, outsourcing, and digital services. Its business segments cover areas such as Financial Services, Retail, Communication, Energy, Utilities, Resources, Services, Manufacturing, Hi-Tech, and Life Sciences. 

The remaining segments encompass various businesses in India, Japan, China, Infosys Public Services, and other public service enterprises. The company’s core services consist of application management, proprietary application development, validation solutions, product engineering and management, infrastructure management, enterprise application integration and support. 

Hindustan Unilever Ltd

The Market Cap of Hindustan Unilever Ltd is Rs. 556,629.92 crores. The stock’s monthly return is 7.12%. Its one-year return is -8.79%. The stock is 13.45% away from its 52-week high.

Hindustan Unilever Limited, an Indian consumer goods company, operates across five key segments: Beauty & Wellbeing, Personal Care, Home Care, Nutrition, and Ice Cream. Within the Beauty & Wellbeing segment, the company focuses on selling hair care, and skin care, including Prestige Beauty and Health & Wellbeing products. 

The Personal Care segment covers skin cleansing, deodorant, and oral care products. Home Care involves fabric care and a variety of cleaning products. In the Nutrition segment, the company offers scratch cooking aids, dressings, and tea products. The Ice Cream segment focuses on selling ice cream products. Notable brands under the Home Care category include Domex, Comfort, and Surf Excel, among others.

ITC Ltd

The Market Cap of ITC Ltd is Rs. 544583.55 crore. The stock’s monthly return is -3.07%. Its one-year return is -6.14%. The stock is 19.09% away from its 52-week high.

ITC Limited, a holding company based in India, operates through several segments. These segments include Fast Moving Consumer Goods (FMCG), Hotels, Paperboards, Paper and Packaging, and Agri-Business. In the FMCG segment, the company offers a variety of products such as cigarettes, cigars, personal care items, safety matches, and packaged foods like staples, snacks, dairy products, and beverages. 

The Paperboards, Paper, and Packaging segment focuses on specialty paper and packaging solutions. The Agri-Business segment deals with various agricultural commodities like wheat, rice, spices, coffee, soya, and leaf tobacco. ITC’s Hotel segment comprises six distinct brands with over 120 properties, catering to different market segments including luxury, lifestyle, premium, mid-market, upscale, and leisure and heritage.

Nifty 100 Equal Weight – FAQs

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Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change with respect to time The securities quoted are exemplary and are not recommendatory.