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9.5How does SEBI classify companies in India?

Time-sensitive: Classification uses AMFI’s list published in July 2026 (effective 1 August 2026), based on average market cap from January to June 2026. AMFI publishes a new list every January and July. Rules and rates change, so check the official source before acting.
1What is it?

SEBI’s rule (from 2017) ranks companies by average full market cap over six months. AMFI publishes the list twice a year, in January and July.

2Why does it exist?

A uniform list stops fund houses from defining "large cap" however they like. Every large-cap fund must invest at least 80% in the same top 100.

3Stock market example

Average market cap is computed across BSE, NSE and MSEI. Companies move between categories when their rank changes: in the July 2026 list, for example, BSE Ltd and Indus Towers moved up to large cap.

4Diagram
CategoryRankApprox. cut-off (July 2026 list)
Large cap1–100≥ ₹1,06,346 crore
Mid cap101–250₹33,664 – ₹1,06,346 crore
Small cap251 onwards< ₹33,664 crore
5Quick revision
  • Ranks by 6-month average market cap.
  • AMFI list every January and July.
  • Cut-offs move with the market.
6Knowledge check
Q1. Who publishes the list?Show answer

AMFI (Association of Mutual Funds in India).

Q2. How often?Show answer

Twice a year, in January and July.

Q3. Are cut-offs fixed rupee amounts?Show answer

No, they depend on rankings and change each list.

More in Level 9: Market Capitalization: Large Cap, Mid Cap and Small Cap