Key Highlights
- The index tracks the performance of companies from the Nifty 500 Index that follow the principles of Ahimsa (non-violence) by avoiding or limiting their involvement in businesses considered harmful from an environmental, social or ethical perspective.
- The Nifty500 Ahimsa Index is based on the Nifty 500 Index, which represents around 95% of India's free-float market capitalisation.
- The index selects companies after applying ESG (Environmental, Social and Governance) and ethical screening criteria.
- Companies involved in activities such as tobacco, alcohol, gambling, animal testing, weapons and other controversial businesses receive lower preference or may be excluded, depending on the index methodology.
- The index is intended for investors who wish to align their investments with ethical, sustainable and socially responsible values.
Question:
Q1. The Nifty500 Ahimsa Index is primarily based on which benchmark index?
a). Nifty 50
b) Nifty Next 50
c) Nifty Midcap 100
d) Nifty 500
Answer: d) The Nifty500 Ahimsa Index is derived from the Nifty 500 Index, which covers around 95% of India's free-float market capitalisation.
