Business Hilights
Tracking Nigeria's Headline Business News Online

Fidelity, Diamond, Sterling banks’ exit as 3 oil groups enter recalibrated NSE 30 Index

Following the bi-annual review of trading indices at the Nigerian Stock Exchange (NSE), three banks, including Diamond Bank Plc, Fidelity Bank Plc and Sterling Bank Plc have exited from the NSE 30 index.

However, their exit provided smooth way for the entrance of only two companies quoted in the agriculture sector – Okomu Oil palm Plc and Presco Plc including Conoil Plc, a downstream petroleum marketing company.

According to a statement made available to Business Hilights by the NSE corporate affairs, the review became operational, January 3, this year.

The NSE-30 and NSE industrial indices are modified market capitalization index with the numbers of included stocks fixed at 30 and 10, respectively. The stocks are selected based on their market capitalization from the most liquid sectors.

Liquidity is based on the number of times the stock is traded during the preceding two quarters. The indices, which were developed using the market capitalization methodology, are rebalanced on a biannual basis – on the first business day in January and in July.

Others include Prestige Assurance Plc, Sovereign Trust Insurance Plc and Unity Kapital Assurance which were also included in the insurance index, while Equity Assurance, Linkage Assurance and Universal Basic Assurance were exited.