The Nifty 50 Midcap index comprises top 50 Indian companies based on market capitalisation that are a part of the Nifty 150 Midcap index. The index represents about 6% of the free float market capitalisation of the stocks listed on NSE as on 29 March 2019. This index can be used for a variety of purposes such as benchmarking fund portfolios, launching of index funds, ETFs, and structured products.
Let’s know more about the Nifty Midcap 50 index and the funds that are designed to track the index in detail.
The table below provides a brief overview of the Nifty Midcap 50 index:
|No Info Available
|January 1, 2004
|No. of Constituents/companies
|Free Float Market Capitalization
|Total Return (%)
|No info available
This index is constructed via a float-adjusted market capitalisation weighted methodology. The methodology also takes into account constituent changes in the index and corporate actions such as stock splits, rights issuance, etc., without affecting the index value.
This index follows the free-float market capitalisation methodology. To better understand this method, let us first understand capitalisation in more detail.
Free float market capitalization is the product value of all publicly traded shares and their trading price. It also includes shares with differential voting rights if they are eligible for public trading.
The implementation of this method ensures fairness in determination of companies to be included on the index. Since the index is a reflection of the market movements, it is fair to only consider shares that are being actively traded on the market. On the other hand, if the full market cap of a company were to be considered, it would create a huge difference in the determination of this index.
As per the Nifty index methodology document, stocks featured in the Nifty Midcap 50 index have to meet the following eligibility criteria::
Listed below are top 10 Nifty 50 Midcap companies along with their weightage. Note that the list might change based on performance.
|AU Small Finance Bank Ltd.
|Federal Bank Ltd.
|Indian Hotels Co. Ltd.
|Shriram Finance Ltd
|TVS Motor Company Ltd
|Page Industries Ltd.
|Persistent Systems Ltd
|Bharat Forge Ltd.
|Jindal Steel & Power Ltd.
Financial services and capital goods are two leading sectors in terms of weightage in Nifty 50 midcap. They hold a 26.04% and 15.22% weightage respectively. The index is constituted of diverse sectors and a detailed table for the same is given below:
|Automobile and Auto Components
|Oil, Gas and Consumable Fuels
|Metals and Mining
|Media, Entertainment and Publication
|Fast Moving Consumer Goods
This index has seen decent growth so far both in terms of price return and total return. Even though quarter-to-date and year-to-date returns have been negative, the long-term returns have been positive.
Speaking of inception, Nifty 5 index has shown a price return of 11.95% and a total return of 13.44% so far. For the uninformed, price return means the price movements of listed stock which leads to capital gains or losses. The total return means all the returns including price return, dividends, interest or any other return realised on a particular security.
For a brief outlook on the performance of the index, refer to the table below.
|Price Return %
|Total Return %
Refer to the table below to understand the difference between Nifty Midcap 50 and Nifty Midcap 150.
|Nifty Midcap 50
|Nifty Midcap 150
|This is a basket of top 50 midcap companies out of all midcap companies on Nifty 500 index
|This is a compilation of all midcap companies that are included on the Nifty 500 index.
|This index includes companies ranking from 101st-150th place on the Nifty 500 index.
|This index represents companies ranking from 101st place to 250th place on the Nifty 500 index.
|The base date is January 1, 2004
|The base date is April 1, 2005
|As of January 31st, 2023, dividend yield was 1.48
|As of January 31st, 2023, dividend yield was 1.23
|As of January 31st, 2023, top constituent of the index is AU Small Finance Bank Ltd with 3.62% weightage in the index.
|The top constituent on this index as of January 31st, 2023 is Max Healthcare Institute Ltd. with 1.87% weightage.
Refer to the table below to understand the difference between Nifty Midcap 50 and Nifty Midcap 100:
|Nifty Midcap 50
|Nifty Midcap 100
|This is a list of top 50 midcap companies out of all midcap companies on Nifty 500 index
|This is a list of the top 100 midcap companies that are included on the Nifty 500 index.
|This index includes companies ranking from the 101st-150th place on the Nifty 500 index.
|This index represents companies ranking from 101st place to 200th place on the Nifty 500 index.
|The base date for Nifty midcap 50 is January 1, 2004.
|The base date for Nifty midcap 100 is July 1, 2003.
|As of January 31st, 2023, the dividend yield was 1.48
|As of January 31st, 2023, the dividend yield was 1.31.
|Since its inception, the total return of the Index has been 13.44%
|Since its inception, the total return of the Nifty midcap 100 has been 20.28%
You can invest in Nifty Midcap 50 index fund via AMC or a third-party aggregator to capture the potential of the Nifty Midcap 50 index.
The Nifty midcap 50 is a representation of the top 50 midcap companies on the Indian stock market. Midcap companies are seasoned companies that can also become large-cap companies in the future. This is a moderately volatile index. So, the impact of any change in the market, to some extent can also be seen here. However, this risk could be mitigated if you stay invested for the long term.
Investing in midcap index funds could help you diversify your portfolio at significantly lower cost. So, if you want to invest in such funds, you can now do so with Navi Mutual Fund. Worried about market risks? You can start with small investments as low as ₹10!
The Nifty midcap 50 index is a Nifty index listed on the NSE comprising top 50 company stocks having a market cap of ₹5,000 crore to ₹20,000 crore.
The Nifty 50 constitutes 50 midcap companies and has a total market cap of 1,838,548.69 crores.
The total return of Nifty midcap 50 since inception has been 13.44%.
The total 1-year return of Nifty midcap 50 has been 4.22%.
The total 5-year return of Nifty midcap 50 has been 11.25%.
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