Wednesday, November 12, 2008

What is sensex?

SENSEX, is the common name for Bombay Stock Exchange Sensitive Index. It is an index weighted by market capitalization market values of 30 representing a sample Companies large, well established and financially sound belonging to several sectors in the Bombay Stock Exchange, Bombay Stock Exchange (BSE) It is the oldest index (provides data series since 1978-79 1 ) And has acquired a unique position in the minds of investors. It is regarded as the barometer more popular and accurate for measuring changes in the securities markets and represents Indians also a universe of underlying securities in the stock market. From time to time, the authorities of the BSE review and modify its composition to ensure that it reflects current market conditions

The SENSEX is the benchmark of capital markets generally Indians accepted among private investors, institutional and foreign fund managers. Their main objectives are: -
 Measure the market movements - 
Serve as a reference point for fund managers and the blue chip COMPANIES 2 to compare the evolution of its funds -
 Serve as a basis for index derivatives such as futures or options

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