CNX IT is an index comprised of the most liquid and large capitalization IT stocks, traded on the NSE, engaged in the business of software or hardware. CNX IT provides investors and market intermediaries with an appropriate benchmark that captures the performance of the IT segment of the market. The index is a market capitalization weighted index with base date being 1st January 1996 and base index value being 1000. Companies selected in the index have to be IT stocks which should rank high in terms of market value represented by their market capitalization and liquidity.

The Base Value of the index is being revised from 1000 to 100 w.e.f. 28 May 2004.

The index is managed by India Index Services and Products Limited (IISL), a joint venture between NSE and CRISIL.

Method of Computation

The CNX IT is calculated using the market capitalisation weighted aggregate method.


Selection Criteria

a. Market Capitalisation

The influence of each company on the index is directly proportional to its market value. Therefore, a company’s rank based on the average market capitalisation over a 6 month period is an important consideration for its selection in the CNX IT Index.

b. Trading Interest

The companies considered for inclusion must rank among the highest in the IT sector in terms of annual trading turnover and must have demonstrated a high level of trading frequency in the previous 6 month period.

c. Others

A company which comes out with a IPO will be eligible for inclusion in the index, if it fulfills the normal eligiblity criteria for the index for a 3 month period instead of a 6 month period.

List of CNX IT Sector Index Stocks