What is Sensex? What is BSE Sensex? How does Sensex work ? All information related to Sensex
What is Sensex? what is BSE Sensex? all information
Friends, in today’s era, who does not know about the stock market, most people are associated with it, Sensex is also a part of the stock market, it is a type of index that directs the market BSE i.e. Mumbai Stock Exchange Sensex is part of it. Today we are going to tell you about these two, what is Sensex and what is the role of Mumbai Stock Exchange in it, it is the oldest stock exchange in India. Sensex has played the biggest role in the stock market of our country, under this all the companies work, Nifty is also one of them and BSE is a part of it.
Table of Contents
- What is Sensex?
What is Sensex?
Sensex means Stock Exchange Sensitive Index, it is this type of index. This index was started in the year 1986. It is the oldest stock exchange in India. There are about 6 thousand companies in the Sensex, whose fluctuations are shown by the Sensex itself. is a stock exchange. Except Nifty, all the companies come under the Sensex. The economy of the country depends on the Sensex , so if the Sensex rises, then the country’s economy is strong and if it starts coming down, then the country’s economy comes down and the rate of GTP falls down , the whole system of the
what is BSE
BSC means Mumbai Stock Exchange, it works under Sensex , there are 30 companies under Mumbai Stock Exchange which are taken from different sectors of the country, these companies are very strong financially, Sensex comes under Mumbai Stock Exchange. Keeps track of 30 companies in the company to see how their shares are fluctuating . India’s GDP depends on ZDP 40% of the total GDP.
What are the benefits of Sensex ?
- Friends, all of you must know that if the Sensex increases, then the companies benefit and the directors also benefit.
- This also benefits the country’s economy and more people buy shares of companies, due to which the stock becomes expensive.
- When a company performs well, then its share price increases, another company becomes financially strong and when there is a jump in the price of companies’ shares, then the Sensex also goes up.
- Because of this, foreign investors also start investing , which strengthens the economy of India and increases the value of rupee.
- If the Sensex goes up, investors also benefit and the country’s economy also benefits.
how the sensex works
- The Sensex keeps a close watch on the prices of all the companies that come under the Sensex and shows the movements of the shares to the investors. It shows the average value of the shares, which shows the volatility of the shares.
- The companies that work in BSE i.e. Mumbai Stock Exchange, how are they working, the company which does good work and earns more profit then the price of their shares increases and if the company does not perform well, that is, it goes into loss. If so, then its shares become cheap and the price of the stock market also decreases.
How is Sensex Calculated?
The base year for the calculation of the Sensex is considered to be 1978, at that time the base price of the Sensex was considered to be only ₹ 100. BSE was started in the year 1986, the same was considered as its base year. From 2003 onwards, calculations were started using the free float method. Free float method is a very good way to calculate companies, through this the shares of the company are sold to the public and the shares that are left after removing the government’s stake are sold to the public, any company from fifty one percent. Holds more shares. The remaining shares are for the investors. Which he can buy and sell from the stock market. There are many investors who buy shares in the morning and sell them in the evening, this is called day trading, but many investors buy their shares for a longer period of time and this is the best way.