The new index uses the methodology of the Market Cap adjusted by free float, which is the same methodology used for the main index EGX 30, but the nature of NILEX imposed a number of changes on this methodology.
The most active companies are selected in terms of value during the audit period, excluding companies that have free float less than 10%, as well as the ones that experience recurrence violations of disclosure rules (more than 3 violations), and the companies that conclude losses for a period of three consecutive years. Based on the methodology, there is no certain number of companies required to constitute Nilex Index which differs from the EGX30 stock index.
It also does not require the company to achieve more than 50% of the trading days.
