Wht is nifty and sensex..can any one explain this properly?
how it go up and down??does adjectives companies own different element expediency for BSE or NSE? or the helpfulness is same..a short time ago index is different?
Answers:
Hi Hritik..
I am answering your question because your describe is similar to my current predilection cine thespian contained by hindi films ...
Now to answer your question. Nifty is a benchmark index explicitly composed of 50 stocks i.e. shares of 50 companies. It is the benchmark index of the National Stock Exchange of India. For a inventory of Nifty stocks, stop by this connect:
http://nseindia.com/content/indices/ind_...
Sensex, instead, is a index to be precise composed of thirty stocks i.e. shares of 30 companies. It is the benchmark index of the Bombay Stock Exchange of India.
For a detail of Sensex constituents, call in this interconnect:
http://www.bseindia.com/mktlive/indicesw...
The indices, Nifty as economically as Sensex, walk up and down base on the movement of the prices of their constituent stocks. Prices progress up/down base on the ratio of buyers and seller for that stocks within the souk on a given moment. Like if within are more buyers than seller, next emergency will push the price of the stock up. But if the convrse happen, th supply man stronger than the constraint will push the price of the stock down...right :)
Although, when a company is scheduled for the first time on the bourses, it list at matching price be it, nifty or sensex. But within the course of time, their prices differ for a moment. For example, at the time of writing the answer, Reliance Industries be quoting at Rs 1795.05 at NSE while it be trading at Rs 1795.90 at BSE. The difference as you can see is totally small.
From a investor point of attitude, the difference between NSE and BSE lies contained by the day by day turnover of shares traded on them. NSE is perceived to be the largest as it have more companies timetabled on it than BSE. So this explains the turnover numbers...doesn't it?
Now to the your later quiz. An index is a picnic basket of stocks that it represents. World over, these are calculated on the justification of free-float souk appeal or full-market worth method.
However, even if the index composition is different that does not penny-pinching that TCS will step up contained by Nifty while within Sensex it will jump down. It cannot start. What can crop up, though, is even if TCS moves up contained by Nifty...Nifty at the stop can wind up 100 points up whereas TCS moving up by similar percentage in Sensex -- might see Sensex closing moments up 50 points down.
This happen because every stock surrounded by an index have some index-weightage. For example, agree to us assume that TCS have 10 per cent shipment surrounded by Nifty while for Sensex TCS might hold 2 per cent freight. This will be determined that even for 15 per cent increase in price, TCS's effect will be more for Nifty (courtesy its greater weightage) while its effect on Sensex may be lower for indistinguishable reason--weightage.
Hope these things help out you rather.
BBye
(FOR ANYMORE QUESTIONS..PLEASE MAILTHEM TO ME AT kumarshankarroy2003(a)yahoo.co.i...
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Answers:
Hi Hritik..
I am answering your question because your describe is similar to my current predilection cine thespian contained by hindi films ...
Now to answer your question. Nifty is a benchmark index explicitly composed of 50 stocks i.e. shares of 50 companies. It is the benchmark index of the National Stock Exchange of India. For a inventory of Nifty stocks, stop by this connect:
http://nseindia.com/content/indices/ind_...
Sensex, instead, is a index to be precise composed of thirty stocks i.e. shares of 30 companies. It is the benchmark index of the Bombay Stock Exchange of India.
For a detail of Sensex constituents, call in this interconnect:
http://www.bseindia.com/mktlive/indicesw...
The indices, Nifty as economically as Sensex, walk up and down base on the movement of the prices of their constituent stocks. Prices progress up/down base on the ratio of buyers and seller for that stocks within the souk on a given moment. Like if within are more buyers than seller, next emergency will push the price of the stock up. But if the convrse happen, th supply man stronger than the constraint will push the price of the stock down...right :)
Although, when a company is scheduled for the first time on the bourses, it list at matching price be it, nifty or sensex. But within the course of time, their prices differ for a moment. For example, at the time of writing the answer, Reliance Industries be quoting at Rs 1795.05 at NSE while it be trading at Rs 1795.90 at BSE. The difference as you can see is totally small.
From a investor point of attitude, the difference between NSE and BSE lies contained by the day by day turnover of shares traded on them. NSE is perceived to be the largest as it have more companies timetabled on it than BSE. So this explains the turnover numbers...doesn't it?
Now to the your later quiz. An index is a picnic basket of stocks that it represents. World over, these are calculated on the justification of free-float souk appeal or full-market worth method.
However, even if the index composition is different that does not penny-pinching that TCS will step up contained by Nifty while within Sensex it will jump down. It cannot start. What can crop up, though, is even if TCS moves up contained by Nifty...Nifty at the stop can wind up 100 points up whereas TCS moving up by similar percentage in Sensex -- might see Sensex closing moments up 50 points down.
This happen because every stock surrounded by an index have some index-weightage. For example, agree to us assume that TCS have 10 per cent shipment surrounded by Nifty while for Sensex TCS might hold 2 per cent freight. This will be determined that even for 15 per cent increase in price, TCS's effect will be more for Nifty (courtesy its greater weightage) while its effect on Sensex may be lower for indistinguishable reason--weightage.
Hope these things help out you rather.
BBye
(FOR ANYMORE QUESTIONS..PLEASE MAILTHEM TO ME AT kumarshankarroy2003(a)yahoo.co.i...