The scrips which have been removed from the Sensex are - Castrol India, Colgate Palmolive, GlaxoSmithKline Pharmaceuticals, HCL Technologies and Nestle India. The inclusions are Bharti Televentures, HDFC Bank, Oil and Natural Gas Corporation, Tata Power and Wipro.
The changes would come into effect from November 10, 2003. The inclusion of a stock in the Sensex is dependent on its liquidity, floating stock, impact cost, market capitalisation and its relevance to the overall trading environment.
Most of the companies which have been removed are multinationals where the parent companies are increasing their stake thus reducing the liquidity.
The five scrips which have been removed had combined weightage of 3.42 per cent in the index.
For the first time the BSE has included Wipro in its key index. The National Stock Exchange (NSE) had included it in its benchmark Nifty index nearly two years back.
At that time the BSE had felt that with the low floating stock of Wipro, and the high volatilities that the scrip was prone to the index could be manipulated.
The inclusion of ONGC has also been a matter of speculation for some time now. On Friday last the stock topped the charts with a market capitalisation of Rs 81,876.90 crore, around 9.2 per cent of the exchange
