Friday, 22 May 2015

Nifty and methodology to calculate nifty



In the last post, we examined what Sensex is and how it is calculated. 

Much the same as the Sensex which was presented by the Bombay stock exchange, Nifty is a noteworthy stock list in India presented by the National stock exchange. 

Nifty was instituted from the two words "National" and 'FIFTY'. The word fifty is utilized on the grounds that; the file comprises of 50 effectively traded stocks from different divisions. 

So the nifty file is somewhat more extensive than the Sensex which is developed utilizing 30 effectively traded stocks as a part of the BSE. 


The procedure for calculating the Sensex was discussed in our before post. Nifty is calculated utilizing the same approach received by the BSE in ascertaining the Sensex – however with three distinctions. They are: 

The base year is taken as 1995 

The base quality is situated to 1000 

Nifty is calculated on 50 stocks effectively traded in the NSE

50 top stocks are chosen from 24 divisions

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