BSE revises Jio Fin price band to 20% from today

BSE revises Jio Fin price band to 20% from today

The BSE has revised the price band for Jio Financial Services to 20% from the earlier 5%, effective Monday. It was among 10 stocks for which the exchange announced a revision in price bands.Set by stock exchanges, price bands serve as limits for securities in order to curb extreme volatility in share prices.In addition, the stock will no longer be in the trade-to-trade (T2T) segment. The stock is expected to be removed from the NSE indices this week, subject to the condition that it doesn’t hit the upper or lower circuit in two consecutive sessions.Analysts say that with thanks to revision of the price band from 5% to 20%, chances of Jio hitting upper/lower circuits are slim.

According to Nuvama Institutional Equities, Jio could exit the NSE indices on Wednesday if it doesn’t hit the circuit limit on Monday and Tuesday. Nuvama’s calculation suggests JFS’ exit could lead to the sale of 105 million shares by Nifty50 passive trackers.