Nikkei will reduce the weight of Advantest (6857 JT) in the Nikkei 225 from April 1, applying a cap intended to prevent any single constituent from becoming overly dominant

• Advantest's current factor of 8 will be revised to 7.2 from April

The Nikkei’s decision to reduce Advantest's index weight is aimed at ensuring no single stock overly influences the performance of the Nikkei 225. This move could lead to increased volatility for Advantest shares and possibly encourage portfolio rebalancing among investors, impacting related sectors in the Japanese equity market.