Nifty Midcap 100

The Nifty Midcap 100 is a key benchmark for tracking the performance of mid-sized companies in the Indian stock market. Launched in 2005 by the National Stock Exchange (NSE), this index comprises 100 of the most liquid and tradable midcap stocks, representing around 12% of the free-float market capitalization on the NSE. 

The index is calculated using a free-float market capitalization-weighted methodology, ensuring it accurately reflects the market value of publicly traded shares. The Nifty Midcap 100 provides investors with a balanced exposure to companies that offer significant growth potential while maintaining stability.
 

Nifty Midcap 100 Index is a broad market index comprised of 100 stocks that are tradable on the NSE. It is meant to be a barometer of the middle cap section of the Indian stock market.

Its constituents made up about 14.91% of the free-float market capitalisation of the listed stocks on the NSE as of March 30, 2026. The constituents also accounted for approximately 21.42% of the total trading value of stocks traded on NSE during the six months ending March 2026.

The index uses free-float market capitalisation for determining stock weights. This means stocks with a higher eligible market value generally have a larger influence on the index.

The Nifty Midcap 100 uses the free-float market capitalisation method. The basic calculation can be represented as: 

Index Value = Current Free-Float Market Capitalisation ÷ Base Market Capitalisation × Base Index Value 

The index has a base date of January 1, 2003, and a base value of 1,000. Its calculation takes place in real time during market hours. 

For example, if the free-float market capitalisation of the constituents rises while other calculation factors remain unchanged, the index value also rises. The same mechanism applies when the aggregate free-float market capitalisation declines. 

The following are key criteria used in maintaining the index:

• Stocks must meet the eligibility requirements of the Nifty Midcap 100 methodology.
• Selection is linked to the eligible universe from the Nifty 500.
• Stock weights are based on free-float market capitalisation.
• The index is reviewed and rebalanced semi-annually.
• The index is calculated in real time during market hours.

The index tracks changes in the prices and free-float market capitalisation of its 100 constituents. Each stock contributes to the index according to its assigned weight.

The composition does not remain fixed. The index undergoes periodic reviews, allowing eligible stocks to enter or leave based on the applicable methodology. This helps keep the index aligned with the defined midcap segment.

The following are some factors that can influence the movement of the Nifty Midcap 100 live index: 

• Changes in Economic Activity: Changes in economic activity will have an impact on the earnings of firms and the business environment. 
• Interest Rate Movements: Interest rate movements will impact the financing costs and investments made by firms. 
• FPI & DII Flows: Foreign institutional investors and domestic institutional investors can impact the liquidity and demand for stocks.  
• Sectors: Any sector that performs well or poorly can have a bearing on the overall index.  
• International Factors: The movement in the international markets, changes in the commodity prices and international economy can impact Indian stocks.  
• Corporate Earnings: Index Constituents' prices can be influenced by changes in their sales, earnings, margins and business performance. 

In the year 2005, National Stock Exchange (NSE) introduced a new index called the Nifty Midcap 100. Its aim was to track the listed midcap stocks in India. Its base date is January 1, 2003, with a base value of 1,000.

The index comprises 100 eligible stocks selected from the midcap segment based on the applicable index methodology. Over time, its composition has changed through periodic reviews and rebalancing. The index provides a benchmark for tracking price movements across a broad set of midcap stocks listed on NSE.

The following are investor profiles for whom the index may be relevant for research and portfolio comparison:

• Investors studying the performance of midcap stocks as a market segment.
• Investors comparing midcap and large-cap index performance.
• Investors evaluating index funds or ETFs that track the Nifty Midcap 100.
• Investors reviewing sector and constituent-level exposure within the midcap segment.

Midcap stocks can experience price fluctuations, and past index performance does not indicate future performance.

Here are some ways through which one could get access to Nifty Midcap 100:

• Direct Stocks: Investors with a Demat account can buy individual stocks that form part of the index. This is access to specific stocks in the index as opposed to access to the index in its totality.
• Exchange Traded Funds (ETFs): This is where the ETFs that track the Nifty Midcap 100 are traded on the stock market using a trading and Demat account.
• Index Mutual Funds: These mutual funds aim to follow the performance of the Nifty Midcap 100. Their returns may differ from the index due to tracking differences and fund-related factors.

The following are a few key differences: