InvestorQ : Is it true that Yes Bank will be removed from the Nifty 50 from this month?
Riya Dwivedi made post

Is it true that Yes Bank will be removed from the Nifty 50 from this month?

Answer
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rhea Babu answered.
7 months ago


That is correct. Yes Bank is being removed from the Nifty 50 index effective from March 27 and it will be replaced by Shree Cements in the Nifty index. Yes Bank has lost nearly 85% of its value in the last one year and that was skewing the Nifty as it had become a company with dubious credentials and also did not meet up to the requirements of listing. Yes Bank has already been dropped from the Sensex in December 2019 itself and that could lead to some amount of selling by ETFs and index funds as they readjust their exposures to the index. Shree Cements will be the third cement company in the Nifty apart from Grasim and Ultratech (both belonging to the Birla group). Under the new criteria, a company needs to be part of the Nifty 500 index to be eligible for inclusion in the Nifty 50.