Nigerian Exchange Limited (NGX) has announced changes to its major equity indices following its full-year review, with Guinness Nigeria and Wema Bank among the companies gaining entry as the bourse adjusts benchmarks to improve market tracking and liquidity.
The rebalancing, which took effect at the opening of trading on Friday, covered a broad range of indices, including the flagship NGX 30, NGX Lotus Islamic, NGX Pension and NGX Pension Broad indices, as well as several partner and sectoral benchmarks.
Guinness Nigeria Plc was added to the NGX 30 Index, one of the exchange’s key benchmarks, while United Capital Plc was removed following the review.
In sectoral indices, Mutual Benefits Assurance Plc replaced Guinea Insurance Plc in the Insurance Index, while Japaul Gold & Ventures Plc entered the Oil and Gas Index, with MRS Oil Nigeria Plc exiting.
Wema Bank Plc was admitted into the NGX Pension Index, while International Breweries Plc was removed. Presco Plc joined the NGX Lotus Islamic Index, which tracks shariah-compliant equities.
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The NGX Pension Broad Index also saw changes, with Nigeria Infrastructure Debt Fund added, while Regency Alliance Insurance Plc and Veritas Kapital Assurance Plc were removed.
Several adjustments were made to partner indices compiled in collaboration with investment firms. The Afrinvest Bank Value Index admitted Wema Bank and Jaiz Bank Plc, while Access Holdings Plc and Stanbic IBTC Holdings Plc were dropped.
Dangote Cement Plc, Okomu Oil Palm Company Plc and Vitafoam Nigeria Plc were added to the Afrinvest Dividend Yield Index, while Conoil Plc, May & Baker Nigeria Plc, Red Star Express Plc, SFS Real Estate Investment Trust and Tripple Gee & Company Plc exited.
Under the Meristem Growth Index, BUA Cement Plc, Lafarge Africa Plc, AXA Mansard Insurance Plc and AIICO Insurance Plc were added, while CAP Plc, Conoil Plc and United Capital Plc were removed.
The Meristem Value Index admitted Ecobank Transnational Incorporated, Julius Berger Nigeria Plc and NEM Insurance Plc, while Dangote Sugar Refinery Plc, TotalEnergies Marketing Nigeria Plc and Lafarge Africa Plc exited the index.
NGX said its indices are constructed using a market-capitalisation-based methodology and are reviewed on a semi-annual basis, with changes taking effect on the first business day of January and July.
Commenting on the review, NGX Chief Executive Jude Chiemeka said the exchange would continue to strengthen market development through innovation and product enhancement to deepen liquidity and better connect Nigeria’s capital market to global investors.
Abimbola Babalola, NGX’s head of trading and products, said the indices are designed to help investors efficiently track market performance and manage investment portfolios.
NGX added that it reserves the right to make further adjustments to its indices in the event of mergers, takeovers, trading suspensions or other corporate actions before the effective date of any review.
