What is Nifty Next 50?

Nifty next 50 is an Index that tracks the next 50 top companies by market capitalization after the first top 50 Nifty 50 companies.

A lot of ETFs and Index funds invest in this Index as it is considered an incubator for the next set of companies that will make to the Nifty 50, or an incubator for companies to get included in the Nifty 50.

While Nifty 50 makes over 50% of the market cap, Nifty Next 50 makes only 12-15% of the market cap.
Its standard deviation is at ~19% compared to 15-17 of the Nifty 50, hence it has higher volatility compared to the market Index. There is more growth potential here for the companies to become the next mega caps.

Not many are aware of another lower volatility market index that is part of the Nifty 50 companies, this is the Nifty Value 20 Index.
The Nifty50 Value 20 Index is designed to reflect the behaviour and performance of a diversified portfolio of value companies forming a part of Nifty 50 Index. It consists of the 20 most liquid value blue chip companies listed on NSE.