The National Stock Exchange (NSE) has introduced the Nifty India Internet & E-Commerce Index. It is a thematic benchmark index which is designed to track the performance of companies primarily operating through online platforms. The index was launched on 28 February 2025. This index aims to provide investors with a dedicated measure of India’s fast-growing internet and e-commerce sector.
53% constituents of the Nifty E-Commerce Index have been listed in the last 5 years. We can say that this index is very young as compared to other Nifty Indexes.
Understanding Nifty E-Commerce Index
The Nifty India Internet & E-Commerce Index comprises 21 companies drawn from the Nifty Total Market and follows a free-float market capitalization-based weighting, with a cap of 20% for individual stocks. The base date for the index is 01 October 2021, with a starting value of 1,000 points.
This new benchmark is expected to serve as a key reference for asset managers, ETFs, index funds, and structured products tracking India’s digital economy.
List of Constituents of E-Commerce Index
| Company Name | Industry | Symbol |
|---|---|---|
| Angel One | Financial Services | ANGELONE |
| Brainbees Solutions | Consumer Services | FIRSTCRY |
| Cartrade Tech | Consumer Services | CARTRADE |
| Easy Trip Planners | Consumer Services | EASEMYTRIP |
| FSN E-Commerce Ventures | Consumer Services | NYKAA |
| IIFL Capital Services | Financial Services | IIFLCAPS |
| Indiamart Intermesh | Consumer Services | INDIAMART |
| Indian Railway Catering And Tourism Corporation Ltd. | Consumer Services | IRCTC |
| Infibeam Avenues | Financial Services | INFIBEAM |
| Info Edge (India) | Consumer Services | NAUKRI |
| Justdial | Consumer Services | JUSTDIAL |
| Le Travenues Technology | Consumer Services | IXIGO |
| Motilal Oswal Financial Services | Financial Services | MOTILALOFS |
| Nazara Technologies | Media, Entertainment & Publication | NAZARA |
| One 97 Communications | Financial Services | PAYTM |
| PB Fintech | Financial Services | POLICYBZR |
| RattanIndia Enterprises | Consumer Services | RTNINDIA |
| Swiggy | Consumer Services | SWIGGY |
| TBO Tek | Consumer Services | TBOTEK |
| Thomas Cook (India) | Consumer Services | THOMASCOOK |
| Zomato | Consumer Services | ZOMATO |
Sectoral Composition and Key Players
The index is dominated by consumer services, which constitute 65.32% of the total weight. Financial services contribute 33.48%, while media, entertainment, and publication hold a minor 1.21% share.
The top constituents based on weightage include:
- Zomato Ltd. (20.3%) – Online food delivery and quick commerce aggregator
- Info Edge (India) Ltd. (18.83%) – Parent company of Naukri, Jeevansathi, 99Acres, and Shiksha
- PB Fintech Ltd. (16.72%) – Parent company of PolicyBazaar and PaisaBazaar
- One 97 Communications Ltd. (7.90%) – Parent company of Paytm
- FSN E-Commerce Ventures Ltd. (7.38%) – Parent company of Nykaa
- Indian Railway Catering And Tourism Corporation Ltd. (IRCTC) (7.1%) – Online travel and ticketing services
Other notable companies included in the index are Swiggy, Angel One, Motilal Oswal, ixigo, Justdial, and RattanIndia Enterprises.
Index Methodology and Review Process
The Nifty India Internet & E-Commerce Index will undergo semi-annual reconstitutions in March and September, based on six-month average market data ending in January and July. Additionally, quarterly screenings will ensure compliance with SEBI’s portfolio concentration norms for ETFs and index funds.
In case of stock suspensions, delistings, or corporate restructuring, NSE Indices may initiate ad-hoc rebalancing to maintain the index’s relevance.
Nifty E-Commerce Index – Eligibility Criteria
Stocks from the following sectors are eligible for inclusion:
- E-commerce and digital retail
- Financial technology (Fintech)
- Digital media and entertainment
- E-learning and web-based services
- Online travel aggregators
- Stockbroking & allied financial services
To be part of the index, a company must be among the top 1,000 stocks based on market capitalization and daily turnover. If fewer than 10 eligible stocks exist, the index may expand its selection criteria.
Performance Trends
The index reported a YTD decline of 18.87% as of 14 February 2025. The past year was the best performance year for the index; it has delivered 26.65% returns. Currently, the e-commerce index is trading at a PE ratio of 89.07 and a P/B ratio of 7.13. The dividend yield stands at 0.22%.
The index is designed to reflect the high-growth nature of India’s digital economy, which has seen a surge in online consumer spending, fintech innovations, and increased internet penetration.
Market Reaction and Broader Trends
The launch of the index comes at a time when the Indian stock market is experiencing volatility. On 28 February 2025, both the Sensex and Nifty dropped by nearly 2%, with broad-based selling triggered by global trade war fears and concerns over the U.S. economy.
Several IPOs listed last year are trading below their allotment prices, even after stellar post-IPO performance. This volatility results in market capitalization loss of INR 8.8 lakh crore. The same is going on with many stocks; some of the biggest losers were Tata Motors, ACC, Aarti Drugs, and Utkarsh Small Finance Bank.
Why This Index Matters
Nifty E-Commerce Index follows the performance of the India’s leading company’s operating through online platforms. As the e-commerce sector is rapidly growing this index will enables the retail and institutional investors to invest in growing online ecosystem.
As digital consumption continues to rise in India, this index provides a benchmark for evaluating internet-focused companies and could become a key performance indicator for the sector in the years ahead.
For more details related to IPO GMP, SEBI IPO Approval, and Live Subscription stay tuned to IPO Central.