The Nigerian Exchange Limited (NGX) has announced the results of its highly anticipated 2025 Midyear Index Review, introducing significant changes across several market benchmarks. The review, which took effect at the opening of trading on July 1, reflects the exchange’s commitment to ensuring its indices remain accurate representations of market performance and investment opportunities. The periodic exercise is designed to keep benchmark indices aligned with current market realities, offering investors reliable tools for tracking performance and making informed decisions.
The biggest talking point from this year’s review is the shakeup within the prestigious NGX 30 Index, widely regarded as the barometer of Nigeria’s blue-chip corporate sector. Consumer goods giants NASCON Allied Industries Plc and Unilever Nigeria Plc secured spots in the elite index, replacing energy firm Oando Plc and conglomerate Transnational Corporation Plc (Transcorp). The changes highlight shifting market dynamics and underline the growing influence of consumer-focused companies within the Nigerian capital market.
Despite the adjustments to the flagship index, several key sectoral benchmarks remained unchanged. The NGX Banking, Insurance, Industrial, Consumer Goods, and Oil & Gas Indices all retained their existing constituents, signaling relative stability within these sectors. Likewise, the NGX Pension Index and NGX Pension Broad Index recorded no changes, reflecting the continued confidence of institutional investors in their current compositions.
Beyond the major indices, the review triggered notable movements across ethical and co-branded benchmarks. Nestlé Nigeria Plc and Cadbury Nigeria Plc gained entry into the NGX Lotus Islamic Index, while NASCON Allied Industries Plc exited. The Afrinvest Dividend Yield Index also experienced a significant reshuffle, welcoming companies such as Seplat Energy, Fidelity Bank, Stanbic IBTC Holdings, Custodian Investment, and Nigerian Aviation Handling Company, while Access Holdings lost its place. These changes are expected to attract attention from investors seeking dividend-paying and ethically screened stocks.
The NGX explained that its indices are reviewed twice a year using market capitalisation and liquidity criteria to ensure they reflect the most valuable and actively traded companies on the exchange. Often compared to global benchmarks such as the Dow Jones Industrial Average and the S&P 500, the NGX 30 Index serves as a key indicator of the health of Nigeria’s corporate sector. Exchange management noted that while the current adjustments have taken effect, further changes may still occur if extraordinary corporate actions such as mergers, acquisitions, or trading suspensions arise before the next scheduled review period.
source: punch
