What is sensex | stock market | noteindia

what is sensex, share market, moneycontrol

Hello friends, how are you guys? Today we will discuss Sensex, in the previous post we told about Nifty.

 Today we will talk about what is Sensex, how does Sensex works, how to calculate Sensex, what is the benefit of Sensex, how many companies are involved in Sensex.

 Sensex is the benchmark index of our Indian stock market, which shows the rise and fall of the shares listed on the Bombay Stock Exchange (BSE).
Read this - stock market index
 The most important function of a stock market index is that it tells all the company's shares listed in the stock market, and gives an average value.

 What is Sensex?

 Often you have seen and heard in news channels and newspapers that today the Sensex gave life to the economy of India, the Sensex rose by 389 points today and you must have also seen or heard that today the Sensex has fallen by 137 points.  Let us know well about the Sensex today.

 The full name of Sensex is Bombay Stock Exchange, which is abbreviated as BSE.

 Sensex is an index like Nifty in the stock market, in which this index is made by selecting 30 companies.

 Just as the circulation of blood is necessary to keep a body alive, similarly it is necessary for a country to have a Sensex to keep the economy alive.

 Only 30 companies are included in the Sensex index, these companies are from 14 different sectors.  By the way, more than 6000 companies are included in the Sensex, out of which only the top 30 companies are indexed, which are the top companies in their field.

 What information do we get from Sensex?

 We get information from the Sensex that, the company whose shares are listed in BSE, how that company is performing, making a profit, then it affects the company's share price, and the share price increases.  And the rise in the share price leads to a rise in the Sensex.

 Similarly, if the company is incurring a loss, then it affects its share price, and a decrease in the share price causes a decrease in the Sensex.

 With this, we also get to know about the economy of the country.

 Advantages of Sensex

 Some major advantages of Sensex

 Get to know all about the company at a glance

 Easy access to information about the ups and downs in the market

 Easy access to information about the country's economic activity

 How is Sensex formed?

 Sensex is made up of the shares of only 30 companies listed on the Bombay Stock Exchange, while a total of more than 6000 companies are listed on the BSE.

 Only 30 company shares are included in the calculation of Sensex because the shares of these 30 companies are bought and sold more.

 This is the 30 largest company whose market capitalization is almost half of all the shares listed on BSE.

 All these 30 companies are also selected from different sectors, and this company is the largest company in its sector.

 30 Who chooses the company after all?

 These 30 companies are selected by the Index Committee of BSE, in which the government, banks, and big economists are included in this committee.

 On what basis does the committee selected 30 companies?

 This is how the Index Committee selects 30 companies to be included in the Sensex.

 1. That company should be listed on BSE for at least one year or more.

 2. The shares of that company are bought and sold every day.

 3. According to the average purchase and sale per day, this company should be in the top 150 companies.

 How does Sensex work?

 Sensex tracks the top 30 selected companies.  Because it is impossible to keep track of 6000 companies, you will also know this.

 If those top 30 companies do good work, then their share rates increase, due to an increase in share rate, the number of Sensex also goes up and if those top 30 companies do not do well then their share rate starts decreasing.  Due to which the number of Sensex starts falling down.

 Sensex 30 company list

Companies                                                                    Industries

1. SUN PHARMA                                                       PHARMA

2. POWER GRID CORP                                             ENERGY POWER

3. RELIANCE                                                              OIL&GAS

4. SBI                                                                            BANKING PUBLIC

5. TATA STEEL                                                            IRON & STEEL

6. ULTRA TECH CEMENT                                          CEMENT

7. M&M                                                                         AUTOMOBILE

8. NTPC                                                                          POWER ENERGY

9. TCS                                                                             IT SERVICE

10. INFOSYS                                                                  IT SERVICE

11. LARSEN                                                                   ENGINEERING

12. MARUTI SUZUKI                                                   AUTOMOBILE

13. NESTLE                                                                    CONSUMER FOODS

14. TECH MAHINDRA                                                  IT SERVICE

15. TITAN COMPANY                                                    JEWELLERY

16. KOTAK MAHINDRA                                                BANKING PRIVATE

17. ITC                                                                              TOBACCO

18. ICICI BANK                                                               BANKING PRIVATE

19. HUL                                                                             HOUSEHOLD & PRODUCTS

20. INDUSLND BANK                                                     BANKING PRIVATE

21. BHARTI AIRTEL                                                        COMMUNICATION SERVICE

22. DR REDDY LABS                                                      PHARMA

23. HDFC                                                                           FINANCE HOUSING

24. HDFC BANK                                                              BANKING

25. BAJAJ FINSERV                                                        FINANCE INVESTMENT

26. BAJAJ FINANCE                                                       FINANCE NBFC

27. AXIS BANK                                                                BANKING PRIVATE

28. ASIAN PAINTS                                                           PAINTS

29. BAJAJ AUTO                                                               AUTOMOBILE

30. HCL TECH                                                                    IT SERVICE

I hope you must have understood what is Sensex, if you have any kind of question or suggestion, then definitely tell by commenting.

Thank you


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