Sensex is an index or an indicator of the financial performance of the companies listed in Bombay stock exchange. Sensex constitutes of 30 companies and when Sensex goes down it signifies that majority of the companies’ stock prices have fallen down and when Sensex goes up it signifies that majority of the companies’ stock prices have gone up.
Sensex is an abbreviation of the Bombay Stock Exchange’s SENSitive IndEX and was compiled on January 1 1986. At the time of formation of Sensex, the method adopted for calculating Sensex was to include 30 of the largest stocks on the index and weight given for each of those stocks was based on their market cap.
Base value of Sensex was set to 100 and each of the 30 companies in Sensex contributed to the weighted average of market capitalization to the index. Larger the size, higher the weightage.
Understand US banking crisis. What Happened to SVB Bank? How Safe Are Indian Banks? Can…
The business analysis of Divis Lab in a 3-step process and understand why the share…
Calculate the fair price of stocks with an easy-to-use Google sheet with intrinsic value and…
Pre-Investing Checklist - the three most important ratios that you should be looking for when…
Should I redeem or switch from my existing mutual funds if they are not the…
How to Find Stocks with Hidden PE ratio of Under 1 - The Mohnish Pabrai…