What is Nifty and Sensex

Nifty and Sensex hold a very important place in the Indian share market. They show both the ups and downs of the Indian market because both include top companies from different sectors.

About indian share market

In today’s time, earning money is a necessity for everyone, but earning money from salary or business alone is not enough. That is why people like to invest in Indian Share Market. Indian Share Market is a place where companies sell their shares to the public, and people buy them and become the owners (i.e. shareholders) of those companies.

There are two major stock exchanges in India – BSE (Bombay Stock Exchange) and NSE (National Stock Exchange). BSE is one of the oldest stock exchanges in the world, while NSE is a modern and technology-based exchange. Shares of companies are listed and traded on these exchanges.

To trade in the stock market, you need a Demat and Trading Account which you can open through brokers like Zerodha, Groww, Upstox. When you buy shares of a company, they are stored in your Demat account just like a bank account.

The Indian share market is regulated by SEBI (Securities and Exchange Board of India). SEBI’s job is to protect the interests of investors and ensure that the market works in a fair and transparent manner.

In the market, you can invest in different types of instruments – such as equity shares, mutual funds, bonds, ETFs, and derivatives. For beginners, long-term investing is the safest and most beneficial option. If you trade daily (intraday) or short-term trading, you must have market knowledge, risk management and patience.

In the Indian share market, the main indices such as Nifty 50 (NSE index) and Sensex (BSE index) show the performance of the top companies in the country. If the market is going up, it means the economy is growing and people’s confidence is also strong.

So if you want to invest money and create wealth, then Indian Share Market is a good option you just need correct knowledge, discipline and patience.

Role of Nifty and Sensex in Indian Share Market

Nifty and Sensex are the two main indices of Indian share market which show the overall direction and health of the market. Sensex is the index of BSE which includes top 30 companies and Nifty is the index of NSE which includes top 50 companies. When these indices go up, there is a bullish trend in the market and when they come down, a bearish trend is shown. They also give a signal of investors’ confidence. Mutual funds show their performance in comparison to Nifty or Sensex. With their help, investors plan their portfolio. Nifty and Sensex also give indication of the performance of the economy. Therefore, they are also called the thermometer of the share market.

Nifty

Nifty 50 Bharat ka ek pramukh stock market index hai jo NSE (National Stock Exchange) ka benchmark index maana jaata hai. Isme India ki top 50 large-cap companies shamil hoti hain jo alag-alag sectors se aati hain, jaise Banking, IT, Pharma, FMCG, Auto, etc. Nifty ka pura naam hai National Fifty, aur ye market ki overall performance ko track karta hai. Jab Nifty upar jaata hai to iska matlab hai ki market mein tezi hai aur investors ka sentiment positive hai. Nifty ki companies ko unke market capitalization, liquidity aur trading volume ke basis par select kiya jaata hai. Ye index investors ko market ke trend samajhne mein madad karta hai. Nifty ko 1996 mein launch kiya gaya tha aur iska base year 1995 maana jaata hai. Iska base value 1000 points rakha gaya tha. Mutual funds aur portfolio managers Nifty ko benchmark maan kar apna performance measure karte hain. Nifty 50 aaj ke time mein ek trusted indicator hai jo Indian economy ki halat ko dikhata hai.

Sensex

Sensex Bharat ka sabse purana aur mashhoor stock market index hai, jo BSE (Bombay Stock Exchange) ka benchmark index hai. Iska full form hai “Stock Exchange Sensitive Index”. Sensex mein top 30 financially strong aur actively traded companies shamil hoti hain jo alag-alag sectors se belong karti hain. Is index ko 1986 mein launch kiya gaya tha, jiska base year 1978-79 aur base value 100 rakhi gayi thi. Sensex market ke overall mood ko represent karta hai agar Sensex badhta hai, to iska matlab market bullish hai, aur agar girta hai to market bearish hai. Ye investors ke liye ek important indicator hai jo unhe market ki health samajhne mein help karta hai. Mutual fund managers bhi apne funds ka comparison Sensex ke returns se karte hain. Sensex ke stocks large-cap aur reputed companies hote hain, isliye inmein kam risk hota hai. Ye index India ki economic condition ka bhi signal deta hai. Aaj ke time mein Sensex ek trusted aur globally recognised index ban chuka hai.

Names of current companies in Nifty 50 and Sensex 30

At Nifty

Adani Enterprises, Adani Ports & SEZ, Apollo Hospitals, Asian Paints, Axis Bank, Bajaj Auto, Bajaj Finance, Bajaj Finserv, Bharat Electronics, Bharti Airtel, Cipla, Coal India, Dr. Reddy’s Laboratories, Eicher Motors, Eternal, Grasim Industries, HCLTech, HDFC Bank, HDFC Life, Hero MotoCorp, Hindalco Industries, Hindustan Unilever (HUL), ICICI Bank, IndusInd Bank, Infosys, ITC, Jio Financial Services, JSW Steel, Kotak Mahindra Bank, Larsen & Toubro (L&T), Mahindra & Mahindra (M&M), Maruti Suzuki, Nestlé India, NTPC, ONGC, Power Grid, Reliance Industries, SBI Life, Shriram Finance, State Bank of India India (SBI), Sun Pharma, TCS, Tata Consumer Products, Tata Motors, Tata Steel, Tech Mahindra, Titan Company, Trent, UltraTech Cement, Wipro.

At sensex

Adani Ports & SEZ, Asian Paints, Axis Bank, Bajaj Finance, Bajaj Finserv, Bharat Electronics, Bharti Airtel, Eicher Motors, HCL Technologies, HDFC Bank, Hindustan Unilever, ICICI Bank, Infosys, ITC, Kotak Mahindra Bank, Larsen & Toubro, Mahindra & Mahindra, Maruti Suzuki, Nestlé India, NTPC, Power Grid, Reliance Industries, State Bank of India, Sun Pharmaceuticals, Tata Consultancy Services, Tata Motors, Tata Steel, Tech Mahindra, Titan Company, and UltraTech Cement

Sensex is an important benchmark of the Indian stock market which represents the top 30 strong companies. This index shows the overall performance of the market and the health of the economy.