The Nairobi Securities Exchange (NSE) has announced sweeping changes to its benchmark indices; the NSE 10, NSE 20, and NSE 25 Share Indices in a move aimed at ensuring they remain an accurate reflection of Kenya’s evolving capital markets.
The adjustments, made following a comprehensive annual review, will see the inclusion of several new constituents across the three indices, based on a data-driven evaluation of liquidity and market capitalization. The changes are set to come into effect on June 3, 2025.
Among the notable additions is HF Group Plc, which has secured a place in all three indices a sign of its growing market relevance. Also making significant entries are Diamond Trust Bank Kenya Limited (DTB) and Carbacid Investments Plc, which have been added to the NSE 20 and NSE 25 respectively.
“Periodic index reviews are vital for ensuring that market indices remain accurate, relevant, and reflective of current market conditions,” said Frank Mwiti, CEO of the NSE.
The NSE conducts its reviews with the aim of aligning its methodologies to international best practices. These revisions are not only critical for transparency and investor confidence but also help support effective portfolio management and performance benchmarking.
The NSE 20 Share Index, traditionally a barometer of market blue chips, now includes HF Group and DTB, expanding its roster to:
- Safaricom Plc
- Equity Group Holdings Plc
- KCB Group Plc
- East African Breweries Ltd
- The Co-operative Bank of Kenya
- Absa Bank Kenya Plc
- NCBA Group Plc
- KenGen Plc
- Standard Chartered Bank Kenya
- Kenya Power and Lighting Company Plc
- Kenya Re-Insurance Corporation Ltd
- Centum Investment Company Plc
- BAT Kenya Plc
- I&M Group Plc
- Britam Holdings Plc
- Stanbic Holdings Plc
- HF Group Plc
- Diamond Trust Bank Kenya Ltd
- BK Group Plc
- CIC Insurance Group Ltd
Meanwhile, the NSE 10 Share Index, which showcases the top 10 performing stocks by liquidity and market capitalization, now features:
- ABSA Bank Kenya Plc
- Equity Group Holdings Plc
- KCB Group Plc
- The Co-operative Bank of Kenya
- Kenya Re-Insurance Corporation Ltd
- HF Group Plc
- KenGen Plc
- East African Breweries Ltd
- I&M Group Plc
- Safaricom Plc
The NSE 25 Share Index, a market capitalization-weighted index designed to offer a broader view of market performance, saw four new entrants:
- HF Group Plc
- BK Group Plc
- Trans-Century Plc
- Carbacid Investments Plc
The move underscores a growing trend towards a more inclusive and diversified index composition that captures emerging leaders in the economy.
This revised index now comprises major players such as:
- ABSA Bank Kenya Plc
- Stanbic Holdings Plc
- Diamond Trust Bank Kenya Ltd
- Equity Group Holdings Plc
- I&M Holdings Plc
- KCB Group Plc
- NCBA Group Plc
- Standard Chartered Bank Kenya Ltd
- The Co-operative Bank of Kenya
- BK Group Plc
- Trans-Century Plc
- Jubilee Holdings Ltd
- HF Group Plc
- KenGen Plc
- Carbacid Investments Plc
- Kenya Power and Lighting Company Plc
- Britam Holdings Plc
- CIC Insurance Group Ltd
- Kenya Re-Insurance Corporation Ltd
- Liberty Kenya Holdings Ltd
- Centum Investment Company Plc
- Nairobi Securities Exchange Plc
- BAT Kenya Plc
- East African Breweries Ltd
- Safaricom Plc
According to Mr. Mwiti, the periodic review is a hallmark of sound exchange governance, aligned with practices from global counterparts such as the London Stock Exchange and Johannesburg Stock Exchange.
“By employing a transparent, data-driven methodology that incorporates factors such as market capitalization and trading activity, we ensure that our indices keep pace with the evolving structure of the Kenyan capital markets,” he said.
The review process strengthens the NSE’s role as a credible market operator and enhances its standing in the global financial community. Investors, both local and international, rely on the accuracy of these indices to make informed decisions.
The inclusion of newer or previously underrepresented companies like HF Group and Carbacid Investments is expected to attract increased investor interest and potentially boost their market valuations.
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