sensex could be construd as sensitive index and nifty as
national fifty.... sensex is the index of BSE while NIFTY
is the index of NSE....sensex consists of the 30 largest
and most actively traded stocks, representative of various
sectors, on the Bombay Stock Exchange. These companies
account for around one-fifth of the market capitalization
of the BSE.
whereas nifty consists of 50 stocks
Sensex & Nifty both are an "index".An index is basically an
indicator giving you a general idea about whether most of
the stocks have gone up or most of the stocks have gone
Sensex is an index of Bombay Stock Exchange (BSE)
Nifty is an index of National Stock Exchange(NSE)
Sensex and Nifty both are an "index".An index is basically
an indicator it indicates whether most of the stocks have
gone up or most of the stocks have gone down. Sensex is an
Baromater index of Bombay Stock Exchange (BSE) and Nifty is
baromater index of National Stock Exchange(NSE)
I think this is one of the best answer for the above
SENSEX - SENSITIVITY INDEX : NIFTY - NATIONAL FIFTY
An abbreviation of the Bombay Exchange Sensitive Index
(Sensex) - the benchmark index of the Bombay Stock Exchange
(BSE). It is composed of 30 of the largest and most
actively-traded stocks on the BSE. Initially compiled in
1986, the Sensex is the oldest stock index in India.
The Sensex is an "index". What is an index? An index is
basically an indicator. It gives you a general idea about
whether most of the stocks have gone up or most of the
stocks have gone down.
The Sensex is an indicator of all the major companies of
the BSE. The Nifty is an indicator of all the major
companies of the NSE. If the Sensex goes up, it means that
the prices of the stocks of most of the major companies on
the BSE have gone up. If the Sensex goes down, this tells
you that the stock price of most of the major stocks on the
BSE have gone down.
Just like the Sensex represents the top stocks of the BSE,
the Nifty represents the top stocks of the NSE. Just in
case you are confused, the BSE, is the Bombay Stock
Exchange and the NSE is the National Stock Exchange. The
BSE is situated at Bombay and the NSE is situated at Delhi.
These are the major stock exchanges in the country. There
are other stock exchanges like the Calcutta Stock Exchange
etc. but they are not as popular as the BSE and the NSE.
Most of the stock trading in the country is done though the
BSE & the NSE. Besides Sensex and the Nifty there are many
other indexes. There is an index that gives you an idea
about whether the mid-cap stocks go up and down. This is
called the “BSE Mid-cap Index”. There are many other types
Indexes are indicators of the market which gives you a
General idea about whether most of the stocks have gone up
Or down. There are two types of INDEXES:
1) SENSEX: SENSITIVITY INDEX Sensex is nothing but index of
It has got 30 listed companies. On the other hand,
2) NIFTY: NATIONAL FIFTY and it is nothing but the index of
It has got 50 listed companies
The SENSEX, short form of the BSE-Sensitive Index, is
a "Market Capitalization-WEighted" index of 30 stocks
representing a sample of large, well-established and
financially sound companies. The index is widely used to
measure the performance of the Indian stock markets.
The NSE S&P CNX Nifty 50 index is a well diversified 50
stock index accounting for 24 sectors of the economy. It is
used for a variety of purposes such as benchmarking fund
portfolios, index based derivatives and index funds.