Jio Financial Services set to be removed from BSE indices on Friday

Jio Financial Services (JFSL) is set to be removed from all BSE indices on Friday, (September 1, 2023). However, the stock will not be out of the NSE on Friday. A stock has to trade without hitting the lower circuit in 2 out of 3 trading sessions to get kicked out of the NSE index.

The BSE informed on Thursday (August 31) that the stock did not hit the lower circuit on Tuesday and Wednesday, and even on Thursday (till 2 pm), the stock didn't hit the lower circuit. So, the stock will be out of all the BSE indices.

Brokerage firm Nuvama says that since the share is about to be removed from the BSE, a total of 60 million shares may be sold out. In terms of outflow, it can be around $18 crore (Rs 1,500 crore).  

Jio Financial Services ended trading on Thursday, up 0.41 per cent at Rs 233.65. 

The stock of Jio Financial Services fared poorly after its launch on August 21, hitting a lower circuit for the first four days to go down more than 20 per cent from its listing price.

The share recovered early this week, specially after RIL chairman Mukesh Ambani announced at the company's AGM that JFSL would enter into the insurance business.

The news drew a lot of buyers to the stock as it hit the upper circuit on Tuesday and Wednesday, after which the BSE decided to exit it from its indices.