Adani-hit Nifty ETFs unlikely to lose incremental flows to other indices

Advisors remain in favour of Nifty despite its recent underperformance to the Sensex

The presence of two Adani group stocks in the Nifty 50 index has weighed on its performance, leading to a lag vis-a-vis the Sensex, which has no presence of stocks from the crisis-hit group.

The Nifty is down nearly 1.5 per cent in the last seven trading sessions. The Sensex, on the other hand, is down just 0.2 per cent during this period. The two headline indices generally move neck-and-neck due to similar heavyweight stocks.

Adani Enterprises and Adani Ports and SEZ are part of the Nifty 50 index but have a combined weightage of less than 2 per cent.