Nifty Realty Outperforms Nifty50, jumps 36% YTD. Check out other indexes it is leaving behind!
The Nifty 50 index is the most popular benchmark index in India. It comprises the 50 top-performing companies in the Indian stock market. Nifty50 is up by 8.92% YTD (year-to-date) as of 8th September 2023. However, it has been outperformed by several other Nifty indices this year. Here is a look at the growth of each index and the reasons that have pushed the market higher:
The Nifty Realty index has risen by 35.61% YTD. The growth is driven by the surge in the industry's sales booking value by 36% YoY, reaching Rs 26,000 crore in FY23. The Indian real estate sector is expected to grow at a CAGR of 9.2% by 2028, driven by factors such as rising incomes, the growing population, and increasing urbanization. The index contains 10 stocks of the real estate sector, click here for the entire list.
The Nifty Public Sector Enterprises or PSE consists of 20 stocks of the companies owned by the government of India. The Index rose by 34.71% YTD. This steep rise is driven by the rise in government spending and the boost in infrastructural development. Click here for the entire list.
|Top 5 Sectors||Stock weightage (in %)|
|Oil, Gas, and Consumable Fuels||35.51|
|Metals and Mining||3.98|
The Nifty Auto index constitutes 15 companies. The index has risen by 27.12% YTD, led by strong demand for passenger vehicles and commercial vehicles. The launch of new models by auto manufacturers, such as the Maruti Suzuki Baleno and the Hyundai Creta also drove the growth.
The Indian automobile industry is expected to grow at a CAGR of 8%-10% in the next few years, driven by factors such as rising disposable incomes, increasing urbanization, and a growing middle class. Click here for the entire list.
The Nifty Pharma index has risen by 21.50% YTD, led by the improvement in US generic market and cost-cuts of raw materials. The Indian pharma sector is expected to grow at a CAGR of 10%-12% by 2030, driven by factors such as the increasing prevalence of chronic diseases, the growing demand for generic drugs, and the government's focus on improving healthcare infrastructure. Click here for the entire list.
The Nifty Media index has risen by 19.81% YTD, led by a strong performance of the television and digital media sectors. The robust growth is driven by factors such as the growth of the digital economy, the increasing penetration of cable and satellite television, and the rising demand for content. The index contains 15 stocks in total, click here for the entire list.
The Nifty FMCG index has risen by 17.16% YTD, on the back of strong demand for essential goods and services. Furthermore, factors such as rising incomes, changing consumer preferences, and the growth of e-commerce are driving the market. Click here for the entire list.
The Nifty IT index has risen by 12.80% YTD, on the back of strong demand for IT services from global clients. The Indian IT sector is estimated to grow at a CAGR of 10% in the next few years, driven by factors such as the growth of the digital economy, the increasing adoption of cloud computing, and the need for automation. Click here for the entire list.