This document provides information about stocks, stock exchanges, and key stock market indices in India. It defines what a stock is and explains that stock exchanges like the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) in India provide a marketplace for buyers and sellers of stocks. It notes the BSE is the oldest stock exchange in India, dating back to 1875, and lists over 5,000 companies, while the NSE ranks among the largest in the world by trading volume and conducts trading in equities, bonds, and derivatives. The document also introduces two widely followed Indian stock market indices - the BSE Sensex and NSE Nifty 50 - which track the performance of major companies listed on their respective
2. A type of security that signifies ownership in
a corporation and represents a claim on part
of the corporation's assets and earnings.
A holder of stock has a claim to a part of the
corporation's assets and earnings.
a shareholder is an owner of a company.
Ownership is determined by the number of
shares a person owns relative to the number
of outstanding shares.
3. Stock exchange is a form of exchange which
provides services for stock brokers and
traders to buy or sell stocks, bonds, and
other securities.
Provide facilities for issue and redemption of
securities and other financial instruments,
and capital events including the payment of
income and dividends.
4. Measurement of the value of a section of the
stock market.
Computed from the prices of selected stocks
(typically a weighted average).
Tool used by investors and financial
managers to describe the market.
To compare the return on specific
investments.
5. New York Stock Exchange
NASDAQ
Japan Exchange Group
Euronext
London Stock Exchange Group
6. Bombay Stock Exchange
National Stock Exchange of India
Multi Commodity Exchange
7.
8. The first and largest securities market in
India, the Bombay Stock Exchange (BSE) was
established in 1875 as the Native Share and
Stock Brokers' Association.
Based in Mumbai, India, the BSE lists over
5,000 companies.
One of the largest exchanges in the world.
The BSE has helped develop the
◦ country's capital markets,
◦ retail debt market,
◦ Indian corporate sector.
9. Securities listed by the BSE include stocks,
stock futures, stock options, index futures,
index options and weekly options. The BSE's
overall performance is measured by the
Sensex, an index of 30 of the BSE's largest
stocks covering 12 sectors.
10. It is a free-float market-weighted stock
market index of 30 well-established and
financially sound companies listed on Bombay
Stock Exchange.
S&P BSE SENSEX is regarded as the pulse of
the domestic stock markets in India
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14. The National Stock Exchange is India's largest
financial market.
Established in 1992, the NSE has developed
into a sophisticated, electronic market, which
ranks third in the world for transacted
volume.
The NSE conducts transactions in the
wholesale debt, equity and derivative
markets.
15. NSE's flagship index, the CNX Nifty, is used
extensively by investors in India and around the
world to take exposure to the Indian equities
market.
The CNX Nifty index is a free float market
capitalisation weighted index.
Nifty is owned and managed by India Index
Services and Products (IISL), which is a wholly
owned subsidiary of the NSE Strategic Investment
Corporation Limited.
The CNX Nifty is a well-diversified 50 stock index
accurately reflecting overall market conditions.