Follow Us on Google
Chinwendu Obienyi
Forte Oil, Oando Plc and PZ Industries Plc, looks set to exit NSE 30 Index platform following the results of the Nigerian Stock Exchange (NSE)’s annual full year market index review.
The indices include the NSE 30, NSE Lotus Islamic, NSE Pension, Corporate Governance Index, Afrinvest Bank Value Index, Afrinvest Dividend Yield Index, Meristem Growth Index, Meristem Value Index; and the five Sectoral Indices of the Exchange – NSE Banking, NSE Insurance, NSE Industrial, NSE Consumer Goods and NSE Oil & Gas. In a statement obtained from the Exchange’s website, the NSE revealed that the review which led to the entry and exit of major companies from several indices took effect as at yesterday. The review showed that the NSE 30 index which is made up of the 30 biggest stocks by market capitalization, will see the likes of CCNN Plc, FCMB Plc and MTN Nigeria Plc entering into the index while Forte Oil, Oando Plc and PZ Industries Plc will exit the index.
According to the NSE, the indices were developed to allow investors to follow market movements and properly manage investment portfolios. Designed using the market capitalization methodology, the indices are rebalanced on a semiannual basis on the first business day in January and in July.
Meanwhile, investors trading on the floor of the NSE had cause to smile even as market capitalisation increased by over N12 billion to close the first trading day of January 2020 at N12.970 trillion.
