NSE introduced its Chemical sector Index

12 March 2025

The Nifty Chemicals Index, introduced by NSE Indices, is designed to track the performance of the top 20 stocks in the chemicals sector from the Nifty 500. The index caps the top three stocks at 33% each, with a combined cap of 62%. Launched with a base date of April 1, 2005, and a base value of 1000, it undergoes semi-annual reconstitution and quarterly rebalancing.

As of February 28, 2025, the Nifty Chemicals Index has shown a total return of 5.67% over the past year and a Compound Annual Growth Rate (CAGR) of 19.71% since its inception. Key constituents include Pidilite Industries (13.35% weight), SRF (13.24%), UPL (10.45%), PI Industries (7.98%), and Solar Industries India (6.92%). This index is expected to serve as a benchmark for asset managers and a reference for passive investment vehicles like ETFs, index funds, and structured products.​