Wema Bank, Aradel Join NGX30 As Conoil, Julius Berger Exit

The Nigerian Exchange Limited (NGX) has concluded its 2025 half-year market index review, resulting in significant changes to its benchmark NGX 30 Index and several other sector-specific indices.

The latest review, which took effect at the start of trading on Tuesday, July 1, reflects the evolving dynamics of the Nigerian capital market and the relative performance of constituent companies based on market capitalisation and liquidity.

In a major development, Aradel Holdings Plc and Wema Bank Plc have been included in the prestigious NGX 30 Index, replacing Conoil Plc and Julius Berger Nigeria Plc.

The NGX 30 Index tracks the top 30 most capitalised and liquid equities listed on the Exchange and serves as a key performance barometer for institutional and retail investors.

The inclusion of Aradel and Wema Bank in the index is a strong signal of their improved market standing, trading activity, and investor interest over the past six months.

According to the NGX, the semi-annual rebalancing exercise is based on a transparent market capitalisation methodology and is carried out to ensure that the indices continue to reflect prevailing market realities.

The Exchange noted that the review is part of a broader effort to enhance market integrity, transparency, and efficiency in tracking investment performance.

Beyond the headline changes in the NGX 30 Index, the review also impacted several sectoral indices.

In the NGX Consumer Goods Index, McNichols Consolidated Plc was added to the index, replacing Golden Guinea Breweries Plc, which was dropped due to changes in its market performance.

Similarly, the NGX Insurance Index recorded the entry of LASACO Assurance Plc, following the exit of Fortis Global Insurance Plc and International Energy Insurance Plc.

The NGX Industrial Index also saw changes, with Austin Laz & Company Plc joining the index, while Notore Chemical Industries Plc exited.

Other noteworthy adjustments were recorded in thematic indices. The Afrinvest Dividend Yield Index was reshuffled to include Access Holdings Plc, FCMB Group Plc, and Julius Berger Nigeria Plc.

Meanwhile, the Meristem Growth Index witnessed a substantial overhaul, welcoming Wema Bank Plc, Chemical and Allied Products Plc, and Guaranty Trust Holding Company Plc.

In contrast, Fidelity Bank Plc, Transnational Corporation Plc, United Bank for Africa Plc, Unilever Nigeria Plc, and Guinness Nigeria Plc were removed from the index during the review.

Interestingly, despite exiting the Growth Index, United Bank for Africa Plc, Unilever Nigeria Plc, and Guinness Nigeria Plc were simultaneously added to the Meristem Value Index, while Julius Berger Nigeria Plc exited from that particular list, reflecting a reclassification in investment characteristics and growth trajectories.

While several indices underwent major changes, others remained stable. The NGX Banking Index, NGX Oil & Gas Index, NGX Pension Index, NGX Lotus Islamic Index, NGX Corporate Governance Index, and NGX Pension Broad Index all recorded no changes in their constituents, suggesting relatively stable performance among their listed components during the review period.

Commenting on the outcome of the index review, the Chief Executive Officer of NGX, Jude Chiemeka, reaffirmed the Exchange’s commitment to fostering a transparent and efficient marketplace.

He emphasized that the review process aligns with NGX’s broader strategic objective of becoming Africa’s leading securities exchange through innovation, technology, and product development.

“The Exchange continues to blaze the trail on the path to becoming Africa’s foremost securities exchange with innovation and product development that deepen the market and boost liquidity, thus connecting Nigeria, Africa, and the world,” Chiemeka said.

Also speaking on the development, Head of Trading and Products at NGX, Abimbola Babalola, highlighted the importance of regular index reviews in enabling investors to track market movements effectively.

He stated that the indices are developed, maintained, and rebalanced every six months to reflect the latest market conditions and investment trends. “These indices are designed to help investors manage portfolios efficiently and respond to changing market environments,” Babalola explained.

The NGX also clarified that the index compiler reserves the right to modify the constituent list in response to corporate actions such as mergers, acquisitions, trading suspensions, or any structural changes within companies prior to the effective date of the review.

Index rebalancing on the NGX is conducted twice a year — in January and July — to ensure that the indices remain relevant and aligned with market performance. The next review is expected to take place in January 2026, continuing a tradition that reinforces investor confidence and supports efficient capital allocation in the Nigerian financial markets.