S&P CNX Nifty is a well-diversified 50 stock index accounting for 23 sectors of the economy.

It is used for a variety of purposes such as benchmarking fund portfolios, index based derivatives, structured products, ETFs and index funds. S&P CNX Nifty is based upon solid economic research and is well respected internationally as a pioneering effort in better understanding how to make a stock market index. Highlights S&P CNX Nifty is owned and managed by India Index Services and Products Ltd. (IISL), which is a joint venture between NSE and CRISIL. IISL is Indias first specialized company focused upon the index as a core product. IISL has a licensing and marketing agreement with Standard and Poors (S&P), who are world leaders in index services. Market Representation S&P CNX Nifty stocks represent about 66.96% of the total free float market capitalization of the universe of the stocks traded on NSE as on June 29, 2012. Diversification: S&P CNX Nifty is a diversified index, accurately reflecting overall market conditions. The rewardto-risk ratio of S&P CNX Nifty is higher than other leading indices, making it a more attractive portfolio hence offering similar returns, but at lesser risk. Liquidity Market impact cost is the best measure of the liquidity of a stock. It accurately reflects the costs faced when actually trading an index. For a stock to qualify for possible inclusion into the S&P CNX Nifty, it has to reliably have market impact cost of below 0.50 % when doing S&P CNX Nifty trades of Rs. 20 million. Eligibility Criteria for Selection of Constituent Stocks The constituents and the criteria for the selection judge the effectiveness of the index. S&P CNX Nifty is unique in this respect. Selection of the index set is based on 3 criteria: Liquidity

 Floating Stock Others For inclusion in the index, the security should have traded at an average impact cost of 0.50% or less during the last six months for 90% of the observations, for the basket size of Rs. 20 Million. Impact cost is cost of executing a transaction in a security in proportion to the weightage of its market capitalization as against the index market capitalization at any point of time. This is the percentage mark up suffered while buying / selling the desired quantity of a security compared to its ideal price = (best buy + best sell) /2 Floating Stock The companies eligible for inclusion in the S&P CNX Nifty Index should have free float of at least 10%. Free float factor (Investible Weight FactorIWF) for each company in the index will be determined based on the public shareholding of the companies as disclosed in the shareholding pattern submitted to the stock exchanges by these companies on a quarterly basis. Promoters holding, government holding in case of public sector undertaking, shares held by promoters through ADRs/ GDRs, associate companies, employee welfare trusts, strategic stakes by corporate bodies, investments under Foreign Direct Investment (FDI) category (where identifiable) and public lock-ins are subtracted to arrive at Free Float factor. Others A company which comes out with an IPO will be eligible for inclusion in the index, if it fulfills the normal eligibility criteria for the index like impact cost, market capitalization and free float, for a 3 month period. Method of Computation S&P CNX Nifty is computed using free float market capitalization method, wherein the level of the index reflects the total free float market value of all the stocks in the index relative to a particular

base market capitalization value. The method also takes into account constituent changes in the index and importantly corporate actions such as stock splits, rights, new issue of shares etc. without affecting the index value. Base Date and Value The base period selected for S&P CNX Nifty index is the close of prices on November 3, 1995, which marks the completion of one year of operations. The value of the index has been set at 1000 and a base capital of Rs.2.06 trillion. Index Governance A professional team at IISL, a company setup by NSE and CRISIL manages S&P CNX Nifty. There is a three-tier governance structure comprising the Board of Directors of IISL, the Index Policy Committee, and the Index Maintenance Sub-Committee. Index Performance Statistics: Period Returns (%) Volatility (%) Avg. Daily Return (%) 1 year -6.53 1.28 -0.02 3 years 23.02 1.24 0.03 5 years 22.24 1.87 0.03 10 years 399.05 1.66 0.08 Since Inception 427.89 1.68 0.05 * As on June 29, 2012

0 1000 2000

3000 4000 5000 6000 7000 Nov-95 May-96 Dec-96 Jul-97 Feb-98 Sep-98 Apr-99 Nov-99 Jun-00 Dec-00 Jul-01 Feb-02 Sep-02 Apr-03 Nov-03 Jun-04 Dec-04 Jul-05 Feb-06 Sep-06

Apr-07 Oct-07 May-08 Dec-08 Aug-09 Mar-10 Sep-10 Apr-11 Nov-11 Jun-12 Index Value Date Sector Break-up: Sr. No. Industry Mkt. Cap. * Rs. Cr. Weight (%) 1 Banks 334035 20.26 2 Computers - Software 218635 13.26 3 Cigarettes 139944 8.49 4 Refineries 133739 8.11 5 Finance - Housing 96551 5.86 6 Automobiles - 4 Wheelers 90722 5.50

7 Engineering 75248 4.56 8 Pharmaceuticals 68266 4.14 9 Oil Exploration/Production 61757 3.75 10 Power 60955 3.70 11 Steel And Steel Products 52807 3.20 12 Diversified 46625 2.83 13 Cement And Cement Products 41747 2.53 14 Automobiles - 2 And 3 Wheelers 41619 2.52 15 Telecommunication - Services 36496 2.21 16 Mining 29379 1.78 17 Electrical Equipment 24608 1.49 18 Paints 17609 1.07 19 Financial Institution 16761 1.02 20 Gas 15816 0.96 21 Construction 15541 0.94 22 Aluminium 15422 0.94 23 Metals 14419 0.87 Total 1648700 100.00 * Free Float Market Capitalization as on June 29, 2012 Company Size (Rs. Cr.) Largest 139944 Smallest 5308 Average 32974 As on June 29, 2012 S&P CNX Nifty Constituents: Company Name

Mkt. Cap. * Rs. Cr. Weight (%) I T C Ltd. 139944 8.49 Reliance Industries Ltd. 124126 7.53 Infosys Ltd. 120980 7.34 ICICI Bank Ltd. 103679 6.29 HDFC Bank Ltd. 101805 6.17 Housing Development Finance Corporation Ltd. 96551 5.86 Larsen & Toubro Ltd. 75248 4.56 Tata Consultancy Services Ltd. 65058 3.95 State Bank of India 55657 3.38 Oil & Natural Gas Corporation Ltd. 50402 3.06 Hindustan Unilever Ltd. 46625 2.83 Tata Motors Ltd. 42794 2.60 Bharti Airtel Ltd. 36496 2.21 Mahindra & Mahindra Ltd. 32453 1.97 Tata Steel Ltd. 29431 1.79 Axis Bank Ltd. 26322 1.60 Sun Pharmaceutical Industries Ltd. 23890 1.45 Kotak Mahindra Bank Ltd. 22048 1.34 Coal India Ltd. 21905 1.33 Bajaj Auto Ltd. 21108 1.28 Dr. Reddy's Laboratories Ltd. 20790 1.26 Wipro Ltd. 20639 1.25 Hero MotoCorp Ltd. 20511 1.24

NTPC Ltd. 20379 1.24 Bharat Heavy Electricals Ltd. 18365 1.11 Jindal Steel & Power Ltd. 18068 1.10 Asian Paints Ltd. 17609 1.07 Tata Power Co. Ltd. 16943 1.03 Grasim Industries Ltd. 16764 1.02 Infrastructure Development Finance Co. Ltd. 16761 1.02 Power Grid Corporation of India Ltd. 16075 0.98 Cipla Ltd. 16063 0.97 GAIL (India) Ltd. 15816 0.96 Maruti Suzuki India Ltd. 15475 0.94 Hindalco Industries Ltd. 15422 0.94Sterlite Industries (India) Ltd. 14419 0.87 Bank of Baroda 13767 0.84 Ambuja Cements Ltd. 13150 0.80 HCL Technologies Ltd. 11958 0.73 ACC Ltd. 11833 0.72 Cairn India Ltd. 11355 0.69 Punjab National Bank 10755 0.65 Bharat Petroleum Corporation Ltd. 9613 0.58 Jaiprakash Associates Ltd. 8322 0.50 Reliance Infrastructure Ltd. 7557 0.46 Ranbaxy Laboratories Ltd. 7523 0.46 Sesa Goa Ltd. 7474 0.45 DLF Ltd. 7219 0.44 Siemens Ltd. 6244 0.38

Steel Authority of India Ltd. 5308 0.32 Total 1648700 100.00 * Free Float Market Capitalization as on June 29, 2012