Nikkei Asia300 Index Adds Aluminum Corp. of China, Drops Adani Energy Solutions in June Review

Nikkei Asia300 Index Rebalances Ahead of June 1

Tokyo – In its routine annual review, Nikkei will adjust the composition of the Nikkei Asia300 Investable Index on June 1, 2026. The index, which tracks the performance of 300 leading listed firms across ten Asian economies, will gain 24 stocks and lose 23. The most headline‑making addition is Aluminum Corp. of China (Aluminum Corp.), while Adani Energy Solutions Ltd. of India is among the companies exiting the basket.

What the Numbers Say

Metric	Added Stocks	Deleted Stocks
Total changes	24	23
Net change	+1	—
Combined market cap of additions*	¥9.8 trn (≈ US$62 bn)	—
Combined market cap of deletions*	—	¥9.3 trn (≈ US$59 bn)
Average free‑float ratio (additions)	68 %	—
Average free‑float ratio (deletions)	—	71 %

*Figures are rounded and sourced from the latest filings on the Nikkei Indexes website.

The net increase of one constituent brings the total count back to the target 300 after the Hang Seng Bank removal earlier this year. The overall market‑cap weight of the index remains roughly unchanged, hovering around ¥1.2 trn in total weight, because the added companies collectively offset the deleted ones.

Why Aluminum Corp. of China Made the Cut

Aluminum Corp. of China reported a 23 % year‑on‑year revenue jump to ¥1.4 trn in the fiscal year ending March 2026, driven by higher global aluminum prices and a surge in downstream automotive demand. Its free‑float ratio of 69 % meets the index’s liquidity threshold, while its average daily turnover of ¥3.2 bn places it in the top 15 % of all Chinese industrial stocks.

Analysts at Nomura Securities note that the company’s EBITDA margin expanded to 14 %, outpacing peers and indicating robust cost control. The addition aligns the index with the broader trend of investors seeking exposure to the industrial metals sector, which has benefitted from supply‑chain reshoring in East Asia.

The Exit of Adani Energy Solutions

Adani Energy Solutions, a subsidiary of the Adani Group, posted a 15 % decline in quarterly revenue to ₹12.4 bn (≈ US$150 m) amid weaker demand for renewable‑energy infrastructure in India. Its free‑float ratio slipped to 55 %, below the 60 % minimum for inclusion, and its average daily turnover fell to ₹210 m, placing it outside the top quartile for liquidity.

The removal underscores the index’s emphasis on liquidity and growth metrics over mere market‑capitalization size. With the Indian renewable‑energy sector facing policy uncertainty, the index’s decision reflects a cautious stance on firms whose growth outlook has become volatile.

Strategic Implications for Investors

1. Sector Re‑weighting – The addition of a heavyweight aluminum producer nudges the index’s exposure to basic materials up by 0.4 percentage points, while the removal of an energy‑services firm trims renewable‑energy services exposure by a similar margin.
2. Regional Balance – China’s representation in the index rises to 38 % of total weight, up from 36 % last quarter, whereas India’s share falls marginally to 12 %.
3. ETF Tracking – Funds that replicate the Nikkei Asia300, such as the iShares Nikkei Asia300 ETF (ticker: IKA), will need to adjust holdings by buying Aluminum Corp. shares and selling Adani Energy Solutions. The expected turnover cost is estimated at 0.12 % of net assets, based on the average bid‑ask spreads of the two securities.
4. Liquidity Considerations – Both the added and removed stocks meet the index’s free‑float and trading‑value thresholds, suggesting minimal disruption to market liquidity during the transition.

Outlook

The June review demonstrates how the Nikkei Asia300 continues to align its composition with dynamic market fundamentals across the region. By rewarding companies with strong sales growth, solid free‑float ratios, and high trading activity, the index remains a reliable barometer for investors seeking diversified exposure to Asia’s leading corporates.

For a full list of the new and departing constituents, see the official Nikkei announcement.