Sensex Nifty these words becomes very common in the current world, though these words enfold certain commercial technical meanings than also nobody could say a 100 percent ignorance of these terms. So what is exactly Sensex and Nifty?
The exact answer will be ‘ Index’ then what is index?
Index can be defined as a parameter or a scoreboard from which we can know about its performance.
Sensex is the index of BSE. Similarly Nifty is the index of NSE. Both BSE NSE are the front liner stock exchanges of India. Both are situated in the capital city Mumbai. Bombay Stock Exchange or BSE India is older than National Stock Exchange or NSE India. BSE is not only older than NSE but also considered as the oldest stock market in Asia.
BSE’s major 30 stocks forms sensex. Sensex is also known as BSE30.If stock exchange news says sensex goes up, it means on an average these 30 stocks performance is good. So in other words sensex is not representing any individual stock position rather the average of all the 30 stocks it includes. So from the sensex we can contemplate the entire bse’s performance.
Similarly nifty includes the major 50 stocks of NSE. S&P CNX Nifty are the indices of NSE and managed by India Index Services and Products Ltd. (IISL), a joint venture between NSE and CRISIL. As nifty includes its major 50 stocks of 24 economic sectors so from nifty index we can consider the nse’s performance.
Although the head quarter offices are in Mumbai but both sensex and nifty have their branches in all over India and from any where you can do your work online. Apart from NSE and BSE there are also many other stock exchanges are present in India.
The exact answer will be ‘ Index’ then what is index?
Index can be defined as a parameter or a scoreboard from which we can know about its performance.
Sensex is the index of BSE. Similarly Nifty is the index of NSE. Both BSE NSE are the front liner stock exchanges of India. Both are situated in the capital city Mumbai. Bombay Stock Exchange or BSE India is older than National Stock Exchange or NSE India. BSE is not only older than NSE but also considered as the oldest stock market in Asia.
BSE’s major 30 stocks forms sensex. Sensex is also known as BSE30.If stock exchange news says sensex goes up, it means on an average these 30 stocks performance is good. So in other words sensex is not representing any individual stock position rather the average of all the 30 stocks it includes. So from the sensex we can contemplate the entire bse’s performance.
Similarly nifty includes the major 50 stocks of NSE. S&P CNX Nifty are the indices of NSE and managed by India Index Services and Products Ltd. (IISL), a joint venture between NSE and CRISIL. As nifty includes its major 50 stocks of 24 economic sectors so from nifty index we can consider the nse’s performance.
Although the head quarter offices are in Mumbai but both sensex and nifty have their branches in all over India and from any where you can do your work online. Apart from NSE and BSE there are also many other stock exchanges are present in India.
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