This video covers the basic of Sensex and Nifty

1. What are Sensex and Nifty?

2. Introduction
• National Stock Exchange (NSE) having Nifty is its main index
• Bombay Stock Exchange (BSE) having Sensex is its main index
It is not possible to track all the companies listed on the stock
exchange just to know the condition of the stock market. Hence
indices are made to easily track the picture
of the market.
There are two main stock exchanges in India:

3. What is Sensex?
• The term Sensex has been derived from two
words that is SENSitive and IndEX.
• More than 5000 companies are listed on BSE
out of which only 30 selected companies
represent Sensex.
• It represents almost all the sectors well through
representative companies.

4. List of companies included in the
Sensex (as of Dec.2017)
• Adani Port
• Asian Paint
• Axis Bank
• Bajaj Auto
• Bharti Airtel
• CIPLA
• Coal India
• Dr. Reddy’s Lab
• GAIL
• HDFC
• NTPC
• ONGC
• Power Grid
• Reliance Industries (RIL)
• State Bank of India (SBI)
• Sun Pharma
• Tata Motors
• Tata Steel
• Tata Consultancy Services (TCS)
• Wipro
• HDFC Bank
• Hero MotoCorp
• Hindustan Unilever (HUL)
• ICICI Bank
• Infosys
• Indian Tobacco Company (ITC)
• Larsen & Toubro (L&T)
• LUPIN
• Mahindra & Mahindra (M&M)
• Maruti Ltd.

5. How is Sensex calculated?
• Sensex is calculated using the “Free float market
capitalization weighted average” method.
• In this method, only the number of stocks available
readily for trade are considered.
• This does not include the stocks that are held by
promoters or management.

6. What is Nifty?
• Nifty is Index that is introduced by NSE and has
been derived by merging the two words ‘National’
and ‘fifty’.
• Nifty is also known as Nifty Fifty, as there are 50
companies in NIFTY.
• More than 1600 companies are listed on NSE out of
which only 50 selected companies represent Nifty.

7. List of companies included in the Nifty
(as of Dec.2017)
• ACC
• Adani Ports & SEZ
• Ambuja Cements
• Asian Paints
• Axis Bank
• Bajaj Auto
• Bank of Baroda
• BHEL
• Bharat Petroleum Corporation
• Bharti Airtel
• Bosch
• Cairn India
• Cipla
• Coal India
• Dr. Reddy’s Laboratories
• GAIL
• Grasim Industries
• ONGC
• PowerGrid Corporation of India
• Punjab National Bank
• Reliance Industries
• State Bank of India
• Sun Pharmaceuticals
• TCS
• Tata Motors
• Tata Power
• Tata Steel
• Tech Mahindra
• UltraTech Cement
• Vedanta
• Wipro
• Yes Bank
• Zee Entertainment Enterprises
• HCL
• HDFC Bank
• Hero MotoCorp
• Hindalco Industries
• Hindustan Unilever
• HDFC
• ICICI
• ITC
• Idea Cellular
• IndusInd Bank
• Infosys
• Kotak Mahindra Bank
• Larsen & Toubro
• LUPIN
• Mahindra & Mahindra
• Maruti Suzuki
• NTPC

8. • The Nifty 50 index was initially calculated on full market
capitalization, but later changed to the free float methodology.
• The method of calculation of the Nifty is very similar to that of the
Sensex, but with three basic differences.
The base year is taken as 1995
The base value is set to 1000
The number of stocks taken is 50
How Nifty is calculated?

9. • We always want to know the present condition of the
market before investing.
• You don’t need to track all the stocks of NSE and BSE to
know the present condition of the stock market.
• You can do it by looking at Sensex and Nifty.
How Nifty is calculated?

10. Watch this video to learn more about
Sensex and Nifty (in Hindi)
https://www.youtube.com/watch?v=R-Y0nqUU0-4
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