Lafarge and others join the Meristem Value Index as an FBN, Honeywell Exit
From Dipo Olowookere
Nigerian Exchange (NGX) Limited has reorganized its market indices, with some companies leaving and re-entering, according to a statement made available Business mail.
The review took effect on Tuesday, it said. January 4, 2022, and the indices affected are the NGX 30, NGX Lotus Islamic, NGX Pension, Corporate Governance Index, Afrinvest Bank Value Index, Afrinvest Dividend Yield Index, Meristem Growth Index, Meristem Value Index; and the five industry indices of the stock exchange; NGX Banking, NGX Insurance, NGX Industrial, NGX Consumer Goods and NGX Oil & Gas.
For the Meristem Value Index, Cadbury Nigeria, Eterna, Nascon Allied Industries, Sterling Bank and Lafarge Africa have been added while Ardova, Cap, Custodian Investment, FBN Holdings, Honeywell Flour Mill, United Capital and Unilever Nigeria have been removed.
In addition, NGX added Dangote Cement, GlaxoSmithKline, Guinness Nigeria, Livestock Feeds and Total Energies Marketing Nigeria to the Meristem Growth Index and removed the duo Nestle Nigeria and Stanbic IBTC Holdings from it.
In addition, the Afrivest Dividend Yield Index saw the addition of Guinness Nigeria, Vitafoam and Tripple Gee and the deletion of AIICO Insurance, Conoil, Dangote Sugar, Fidelity Bank and United Capital, while the Afrivest Bank Value Index saw the UBA as a new member and the exit from . welcomed FCMB.
The NGX 30 index saw the entry of Oando and the exit of Nascon Allied Industries, while the NGX Industrial Index only saw the entry of Tripple Gee, while the NGX Lotus Islamic index only witnessed the removal of Ardova and Unilever Nigeria.
However, the Corporate Governance Index, the NGX Pension Index, the NGX Oil & Gas Index, the NGX Insurance Index, the NGX Banking Index and the NGX Consumer Goods Index remained unchanged.
The Nigerian Stock Exchange began publishing the NGX 30 Index in February 2009, with index values ââstarting January 1, 2007. On July 1, 2008, the NGX developed five sector indices with a base value of 1,000 points that serve as investable benchmarks for measuring the performance of specific sectors .
The industry indices include the 15 most financially strong and liquid companies in the insurance and consumer goods sectors; the ten most financially strongest and most liquid companies in the banking and industrial goods sector; and the seven most capitalized and liquid companies in the oil and gas sector.
In July 2012, the Nigerian Stock Exchange launched the NGX Lotus Islamic Index (NGX LII), which is made up of companies whose business practices adhere to Sharia investment principles with the aim of expanding the breadth of the market and becoming an important benchmark for investment as the alternative scope for ethical and interest-free investments increased.
The companies listed in the Islamic Index have been thoroughly audited by Lotus Capital Halal Investment using a method recognized by an internationally recognized Sharia advisory body made up of renowned Islamic scholars.
These indices are designed to enable investors to track market movements and properly manage investment portfolios. The indices, which are designed according to the market capitalization method, are reweighted every six months on the first business day in January and July.