Why in the news
NSE Indices Limited introduced a new ethical equity benchmark on 10 July 2026, built with the Ahimsagain Foundation, that selects Nifty 500 companies free from animal cruelty.
Key facts
- Described as India’s first specialised rules-based equity index screening for animal cruelty.
- Developed with the foundation’s Ahimsa Investment Movement (AIM) framework.
- Covers 326 companies as of 30 June 2026.
- Meant as a transparent benchmark for retail and institutional investors and as the base for ETFs, index funds and structured products.
Index design
| Feature | Detail |
|---|
| Universe | Nifty 500 |
| Screening | AIM bands: Green, Orange, Red; only Green included |
| Weighting | Free-float market capitalisation |
| Base date and value | 1 April 2016; 1,000 |
| Rebalancing | Every six months |
Inclusions and exclusions
| Included | Excluded |
|---|
| IT, automobiles, capital goods, telecom | Meat, dairy, poultry, leather, cosmetics, wool and leather fashion, animal-testing pharma |
| Top names: Bharti Airtel, Infosys, M&M, TCS, Maruti Suzuki, NTPC | Commercial banks, major NBFCs, most Reliance Group companies |
Key concepts
- Free-float market cap: value of shares readily tradable, leaving out promoter or government locked-in holdings.
- Thematic index: built on a theme such as ESG or ahimsa rather than the broad market.
- Negative screening: leaving out firms in objectionable sectors.
- Passive investing: tracking an index instead of picking stocks; ETF units trade on an exchange.
Exam angle
- Launchers: NSE Indices Limited with Ahimsagain Foundation.
- Screening tool: AIM; band included: Green.
- The index is a benchmark, not a mutual fund scheme.