- BSE will replace Tata Motors Passenger Vehicles with InterGlobe Aviation in Sensex from Dec 22, 2025
- IndusInd Bank is replaced by Max Healthcare in the BSE Sensex 50 index
- IDFC First Bank will enter the BSE 100 and be included in Sensex Next 50
India's oldest bourse, BSE, has revised the constituent list in the benchmark 30-share Sensex, which will see one major replacement effective from Dec. 22, 2025, according to an official notification.
As part of the rejig, InterGlobe Aviation Ltd. (IndiGo's parent company) will replace Tata Motors Passenger Vehicles Ltd.
BSE's revision comes in the backdrop of Tata Motors demerger between the passenger vehicle and the commercial vehicle segment, with the passenger vehicles stock named Tata Motors Passenger Vehicles.
Additionally, in the BSE Sensex 50, IndusInd Bank Ltd. is being replaced by Max Healthcare Institute Ltd., while in the BSE 100, IDFC First Bank Ltd. is making an entry.
IndusInd Bank and IDFC First Bank will also be included in the BSE Sensex Next 50.
Index rejigs are a key event for the market because they help the market participants gauge the direction in which the funds are moving. The periodic rebalancing of the Sensex ensures the benchmark index remains representative of India's evolving market dynamics.
When an index is re-organised, exchange-traded funds and mutual funds that track that index perform a rebalancing exercise. This is crucial for them to re-align their portfolios with the new composition of the index.
Essentially, the index's constituents are adjusted to maintain the intended asset allocation proportions or to keep the overall risk level consistent with the index's predefined methodology.
The rebalancing activity usually begins days before the date the changes are implemented.
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