Full Form of SENSEX
Full Form of SENSEX
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Full Form of BSE- SENSEX in English and Hindi |
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| Short Name | In English |
In Hindi |
| BSE- SENSEX | Bombay Stock Exchange Sensitivity Index | बंबई स्टॉक एक्सचेंज संवेदनशीलता सूचकांक |
What is SENSEX?
It is basically known as index. It is a market indicator of the position of stock that is listed in the BSE (Bombay Stock Exchange). Generally, it is calculated on the basic of 30 well established and financially sound companies. Simply, it is designed to reflect the overall market sentiments and it comprises of 30 stocks and these are large, well-established and financially sound companies from main sectors.
List of company that are listed in the SENSEX are-
- Bharti Airtel Ltd
- Bajaj Auto Ltd
- Bharat Heavy Electricals Ltd
- AXIS Bank
- HDFC Bank Ltd
- Coal India Ltd
- Reddy’s Laboratories Ltd
- GAIL Ltd
- Cipla Ltd
- Hero MotoCorp Ltd
- Hindalco Industries Ltd
- Hindustan Unilever Ltd
- Housing Development Finance Corporation Ltd
- ICICI Bank Ltd
- Reliance Industries Ltd
- Larsen & Toubro Ltd
- Mahindra and Mahindra Ltd
- Maruti Suzuki India Ltd
- NTPC Ltd
- Oil and Natural Gas Corporation Ltd
- ITC Ltd
- Sesa Goa Ltd
- State Bank of India
- Tata Power Company Ltd
- Tata Steel Ltd
- Wipro Ltd Sun
- Tata Consultancy Service Ltd
- Tata Motors Ltd
- Pharmaceutical Industries Ltd
- Infosys Ltd
Purpose of Sensex Indexing-
It has mainly two types of indexing that are-
- Benchmark for Investment: It is main purpose of sensex is to provide a benchmark to investors so that the can compare between two securities and also identify the best option for them self. It also provides the real time position of those top performing securities that are performing well in the market.
- It also provides the position of top 30 well performing companies in BSE: It is one of the best index that include the position of the top 30 well performing companies in the market. The calculation of the sensex depends on many factors like price of stock, number of shared issues etc.
Breaking Down ‘SENSEX’
In SENSEX, Analysts and Investors use the sensex to observe the overall growth, development of the particular industries and also booms and busts of the India economy. Some of the highest price shares listed in the sensex, as of July 2016, includes the ACC (cement and cement product), HDFC Bank, Housing Development Finance Corporation, Infosys Technologies etc.
The sensex experienced enormous growth in the first decade of the 21st century, rising from a close of 3377.28 to one of 20286.99 in the Year 2007. This is known as reflective of the India’s GDP growth since the turn of the century, one that ranks as one of the fastest in the world. According to IMF estimate, India’s GDP grew at an average annual rate of 8.01% between the Year 2002 and 2007. Its GDP faltered to a growth rate of 3.89% in the Year 2008, in stride with the global financial meltdown of that year, but was back on a strong track with a growth rate of 10.26% in Year 2010. GDP growth in 2016 is expected to be over 7%, significantly higher than the projected growth rate of 2-2.5% in the US and 1-2%.