Types of NSE Indices: A Simple Guide to Broad, Sectoral and Thematic Indices

The National Stock Exchange (NSE) offers a wide range of indices that track different segments of the market. While most investors are familiar with the Nifty 50, there are several other indices that provide insights into sectors, market capitalisation segments, and investment themes.

Understanding the different types of NSE indices helps investors interpret market movements more clearly and see how various parts of the market behave over time.

Broad Market Indices in NSE

Broad market indices represent the overall performance of the market across different company sizes. They are typically used as benchmarks to understand how the market is performing.

Nifty 50

Tracks the top 50 large-cap companies listed on NSE. It is the most widely followed index and represents large, established businesses.

Nifty Next 50

Includes the next 50 companies after the Nifty 50. These are emerging large-cap companies that may potentially enter the Nifty 50 over time.

Nifty 100

Combines Nifty 50 and Nifty Next 50, offering broader large-cap exposure.

Nifty 200

Expands further to include mid-cap companies along with large caps, giving a wider market view.

Nifty 500

Represents a large portion of the listed universe across large, mid, and small-cap segments, making it one of the most comprehensive indices.

Nifty Total Market Index

Tracks nearly the entire listed equity market, including microcaps, offering the broadest possible coverage.

Other Broad-Based Indices

These indices provide more specific exposure within the broader market:

• Nifty Midcap 150 / Nifty Midcap 100 / Nifty Midcap 50

• Nifty Smallcap 250 / Nifty Smallcap 100 / Nifty Smallcap 50 / Nifty Smallcap 500

• Nifty Microcap 250

• Nifty LargeMidcap 250

• Nifty MidSmallcap 400 / Nifty MidSmallcap 400 50:50

• Nifty India FPI 150

• Nifty500 Multicap 50:25:25

• Nifty500 LargeMidSmall Equal-Cap Weighted

These indices are used to track specific market capitalisation segments or allocation strategies within the broader market.

Sectoral Indices in NSE

Sectoral indices track the performance of specific industries, helping investors understand how particular sectors are performing.

Nifty Bank

Tracks major banking stocks and is one of the most actively tracked sectoral indices.

Nifty IT

Represents information technology companies, often influenced by global demand and currency movements.

Nifty FMCG

Tracks consumer goods companies, often considered relatively stable compared to cyclical sectors.

Nifty Pharma

Covers pharmaceutical companies and healthcare-related businesses.

Nifty Auto

Tracks automobile manufacturers and related companies.

Other Sectoral Indices

NSE offers a wide range of sectoral indices, including:

• Nifty Financial Services

• Nifty Financial Services 25/50

• Nifty Financial Services Ex Bank

• Nifty Private Bank

• Nifty PSU Bank

• Nifty Realty

• Nifty REITs & Realty

• Nifty Consumer Durables

• Nifty Oil and Gas

• Nifty Metal

• Nifty Media

• Nifty Cement

• Nifty Chemicals

• Nifty Healthcare

• Nifty500 Healthcare

• Nifty MidSmall Financial Services

• Nifty MidSmall Healthcare

• Nifty MidSmall IT & Telecom

These indices allow investors to track sector-specific trends and cycles within the market.

Thematic and Strategy Indices in NSE

Thematic and strategy indices focus on specific investment ideas or factors, rather than just sectors or market size.

Nifty Bharat Bond Index

Tracks target maturity bond portfolios and is used in debt-oriented strategies.

Factor-Based Indices (Quality, Momentum, Value, Low Volatility 30)

These indices select stocks based on specific characteristics such as:

• Strong fundamentals (Quality)

• Price trends (Momentum)

• Valuation (Value)

• Stability (Low Volatility)

Theme-Based Indices

These indices track sectors aligned to long-term themes, such as:

• Nifty India Manufacturing

• Nifty India Digital

• Nifty India Defence

• Nifty India Housing

• Nifty India Tourism

Nifty 100 ESG Sector Leaders

Focuses on companies with better environmental, social, and governance (ESG) practices.

Fixed Income and Other NSE Indices

These indices move beyond equities and track debt and alternative assets.

Nifty G-Sec Indices

Track government securities across different maturities and are used as benchmarks for fixed-income investments.

Nifty REITs and InvITs

Track Real Estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InvITs), providing exposure to income-generating assets.

Hybrid and Allocation-Based NSE Indice

These indices combine different segments to create balanced exposure across market capitalisations.

Nifty500 Multicap 50:25:25

Allocates:

• 50% to large caps

• 25% to mid caps

• 25% to small caps

This creates a structured diversification across segments.

Nifty500 LargeMidSmall Equal-Cap Weighted

Gives equal weight to large, mid, and small-cap segments, rather than being market-cap weighted.

NSE indices are designed to represent different parts of the market, rom the largest companies to specific sectors, themes, and even fixed-income instruments.

While the Nifty 50 is the most commonly tracked index, the broader ecosystem of indices provides a much deeper view of how markets function.

Understanding these categories is less about tracking every index and more about recognising how different segments behave. This can help investors interpret market movements with greater clarity rather than reacting to a single headline number.