NSE arm unveils new smart beta Nifty MidCap150 Quality 50 Index

The weight of each stock in the index is based on a combination of stock's quality score

NSE Indices Ltd on Thursday launched a new smart beta index, Nifty Midcap150 Quality 50 Index, which will track performance of mid-cap companies based on profitability, leverage and earnings growth variability.

The beta index includes top-50 companies from its parent Nifty Midcap 150 Index, selected based on their 'quality scores', NSE Indices, an NSE group company, said in a statement.

The 'quality score' for each company is determined based on return on equity, financial leverage and earning per share growth variability of each stock analysed during the past five financial years.

The weight of each stock in the index is based on a