This is a perfect section for you if you are interested in enhancing your knowledge about Financial Matters. A few tips and tricks about Investing, Shares, Mutual Funds and Money Saving Schemes.
ImageYes, it is important to understand that the Sensex and the Nifty are just the most popular of many different indices. Both the BSE and the NSE produce several other indices which cover smaller firms and individual sectors.
For example the S&P CNX 500 is a broad-based index which covers 500 firms and therefore gives a broader picture of the stock market as a whole than narrower measures like the Nifty. The BSE-500 is another broad index produced by the BSE. These two indices cover more than 90 per cent of the market capitalisation of all the firms in their respective stock exchanges.

Both exchanges also produce sector-specific indices. For example you have the BSE Auto Index, BSE IT Index, CNX Pharma Index, CNX Bank Index and so on. Both exchanges also have indices which focus on mid-cap and small-cap firms: BSE Mid-Cap, BSE Small-Cap, CNX Midcap etc.
ADVERTISEMENT