The Nifty500 Multicap 50:25:25 index aims to measure the performance of portfolio of large, mid and
small market capitalisation companies with target weights assigned to each size segment. The Nifty500
Multicap 50:25:25 index includes all companies that are part of Nifty 500 index. While in Nifty 500 index,
the total weight of each size segment (Large, Mid and Small cap) is based on the total free float market
capitalisation of all stocks falling within that size segment, in Nifty500 Multicap 50:25:25 index, the total
weight of each of these three segments (Large, Mid and Small cap) is fixed at 50%, 25% and 25%
respectively at every quarterly rebalance date. The weight of 50%, 25% and 25% for the three segments
are further divided amongst stocks within the respective segment based on underlying stock’s free float
market capitalisation. Weight of each size segment may be different from its respective capped level
between two rebalance dates due to price drift of underlying stocks.