NSE Indices, the index services subsidiary of the National Stock Exchange of India (NSE), has unveiled two new target maturity indices, expanding its fixed-income offerings. The newly launched indices are the Nifty AAA Financial Services Bond Mar 2028 Index and the Nifty AAA Bond Plus G-Sec Mar 2035 30:70 Index.
These indices are designed with a target maturity structure, aligning with specific maturity dates: March 31, 2028, for the Nifty AAA Financial Services Bond Mar 2028 Index, and March 30, 2035, for the Nifty AAA Bond Plus G-Sec Mar 2035 30:70 Index.
The Nifty AAA Financial Services Bond Mar 2028 Index tracks the performance of AAA-rated bonds issued by key financial institutions, including public financial institutions, housing finance companies, non-banking financial companies, and private sector banks, all maturing within the six months leading up to March 31, 2028.
Conversely, the Nifty AAA Bond Plus G-Sec Mar 2035 30:70 Index measures the performance of a diversified portfolio comprising AAA-rated bonds from public sector undertakings, housing finance companies, non-banking financial companies, and corporates, alongside government securities (G-Sec), all maturing within the twelve months leading up to March 30, 2035.
The Nifty AAA Financial Services Bond Mar 2028 Index has a base date of February 24, 2025, while the Nifty AAA Bond Plus G-Sec Mar 2035 30:70 Index has a base date of January 1, 2025. Both indices were launched with a base value of 1000 and will undergo semi-annual reviews. At their base date, all selected securities are equally weighted.
NSE Indices anticipates that these new indices will attract investors seeking to invest in debt portfolios with a defined target maturity. Further, they are expected to serve as benchmarks for asset managers and act as reference indices for passive investment vehicles such as Exchange Traded Funds (ETFs), index funds, and structured products.