Nifty 500

The Nifty 500 Index represents the top 500 companies listed on the NSE, selected based on full market capitalisation from the eligible universe. It spans a broad range of sectors, reflecting the performance of large, mid, and small cap stocks in India with 503 constituents.

 

About Nifty 500 Index

The Nifty 500 Index is computed using the free-float market capitalisation method, mirroring the total free float market value of all constituent stocks relative to its base period. It employs semi-annual rebalancing and governance by a professional three-tier structure. The index has variants such as the Nifty 500 Total Returns Index and Nifty500 Industry Indices and currently includes 503 companies with real-time calculation.

Uses of Nifty 500 Index

The index is widely used for benchmarking fund portfolios, as a basis for index funds, ETFs, and structured investment products, providing investors and fund managers with comprehensive market exposure.

Launch Date and Base Date of Nifty 500 Index

The Nifty 500 Index was launched on January 1, 1995, which is also its base date. The base value is set at 1,000 points.

Nifty 500 Index Rebalancing

Rebalancing occurs semi-annually with cut-off dates on January 31 and July 31. The process uses the average data of the previous six months, with a four-week prior notice given to market participants before changes are implemented.

Top Constituents and Weightage of Nifty 500 Index

As of the latest review, the top 10 constituents of the Nifty 500 Index and their weightages are:

• HDFC Bank Limited — 7.55%
• Reliance Industries Limited — 5.04%
• ICICI Bank Limited — 4.81%
• Bharti Airtel Limited — 2.80%
• Infosys Limited — 2.67%
• Larsen & Toubro Limited — 2.37%
• ITC Limited — 2.03%
• State Bank of India — 1.95%
• Axis Bank Limited — 1.77%
• Tata Consultancy Services Limited — 1.56%

Nifty 500 Index Methodology

Eligibility Criteria

• All equity shares listed on NSE are eligible except convertible stock, bonds, warrants, rights, and preferred stock providing guaranteed fixed returns.
• Companies must rank within the top 800 based on average daily turnover and full market capitalisation over the previous six months.
• Securities must be traded at least 90% of trading days over the prior six months.
• Securities rank among the top 350 by full market capitalisation to be included.
• Securities are excluded if rank or turnover falls below 800 or if not part of the eligible universe.
• Minimum one-month listing history as on the cut-off date.

Calculation Method

The Nifty 500 Index uses a free-float market capitalisation weighted method, updated in real-time during market hours. The index reflects the market value of freely traded publicly available shares of the constituents.

Performance Metrics

As of October 31, 2025:

Returns (Total Return Index):

• QTD: 4.29%
• YTD: 5.97%
• 1 Year (Absolute): 4.50%
• 5 Years CAGR: 10.81%
• Since Inception CAGR: 19.87%

Fundamentals:

• P/E Ratio: 24.6
• P/B Ratio: 1.14
• Dividend Yield: 3.69%

Risk Metrics (Price Return Index basis):

• Standard Deviation: 14.49%
• Beta (relative to Nifty 50): 1.04
• Correlation (with Nifty 50): 0.95