NIFTY 50: Difference between revisions
No edit summary |
No edit summary |
||
| Line 18: | Line 18: | ||
Nifty 50 Index has shaped up as a largest single financial product in India, with an ecosystem comprising: exchange traded funds (onshore and offshore), exchange-traded futures and options (at [[National Stock Exchange of India|NSE]] in [[India]] and at [[SGX]] and [[CME Group|CME]] abroad), other index funds and OTC derivatives (mostly offshore). |
Nifty 50 Index has shaped up as a largest single financial product in India, with an ecosystem comprising: exchange traded funds (onshore and offshore), exchange-traded futures and options (at [[National Stock Exchange of India|NSE]] in [[India]] and at [[SGX]] and [[CME Group|CME]] abroad), other index funds and OTC derivatives (mostly offshore). |
||
The Nifty 50 covers 22 sectors of the [[Indian economy]] and offers investment managers exposure to the Indian market in one portfolio. During 2008-12, |
The Nifty 50 covers 22 sectors of the [[Indian economy]] and offers investment managers exposure to the Indian market in one portfolio. During 2008-12, Nifty 50 Index share of NSE market capitalisation fell from 65% to 29%<ref>[http://www.sebi.gov.in/cms/sebi_data/attachdocs/1378192045802.pdf CNX Nifty loses importance to sectoral indices]</ref> due to the rise of sectoral indices like CNX Bank, CNX IT, CNX Mid Cap, etc. The CNX Nifty 50 Index gives 29.70% weightage to financial services, 0.73% weightage to industrial manufacturing and nil weightage to agricultural sector.<ref>[http://www.nseindia.com/content/indices/ind_cnx_nifty.pdf Sectoral weightage of CNX Nifty 50 Index]</ref> |
||
The Nifty 50 index is a [[Capitalization-weighted index |free float market capitalisation weighted index]]. The index was initially calculated on full market capitalisation methodology. From June 26, 2009, the computation was changed to free float methodology. |
The Nifty 50 index is a [[Capitalization-weighted index |free float market capitalisation weighted index]]. The index was initially calculated on full market capitalisation methodology. From June 26, 2009, the computation was changed to free float methodology. |
||
The base period for the CNX Nifty index is November 3, 1995, which marked the completion of one year of operations of ''National Stock Exchange Equity Market Segment''. The base value of the index has been set at 1000, and a base capital of Rs 2.06 trillion.<ref>[http://www.nseindia.com/content/indices/nifty_freefloat_method.pdf CNX Nifty Index Methodology]</ref> |
The base period for the CNX Nifty index is November 3, 1995, which marked the completion of one year of operations of ''National Stock Exchange Equity Market Segment''. The base value of the index has been set at 1000, and a base capital of Rs 2.06 trillion.<ref>[http://www.nseindia.com/content/indices/nifty_freefloat_method.pdf CNX Nifty Index Methodology]</ref> |
||
The CNX Nifty Index was developed by Ajay Shah and Susan Thomas. |
|||
==History== |
==History== |
||
| Line 28: | Line 28: | ||
==Components== |
==Components== |
||
List of 50 companies that form part of |
List of 50 companies that form part of Nifty 50 Index as on 3 March 2014: |
||
{| class="wikitable sortable" id="constituents" |
{| class="wikitable sortable" id="constituents" |
||
| Line 134: | Line 134: | ||
==Major falls== |
==Major falls== |
||
On the following dates, the |
On the following dates, the NIFTY 50 index suffered major single-day falls (of 150 or more points) |
||
# 24 Aug 2015 --- 490.95 Points (driven by meltdown in the Chinese stockmarket) <ref> {{cite web|url=http://www.moneycontrol.com/news/local-markets/global-mayhem-sensex-crashes-1624-pts-nifty-breaches-7900_2711281.html|title=Global mayhem: Sensex crashes 1624 pts; Nifty breaches 7900|work=Moneycontrol.com}} </ref> |
# 24 Aug 2015 --- 490.95 Points (driven by meltdown in the Chinese stockmarket) <ref> {{cite web|url=http://www.moneycontrol.com/news/local-markets/global-mayhem-sensex-crashes-1624-pts-nifty-breaches-7900_2711281.html|title=Global mayhem: Sensex crashes 1624 pts; Nifty breaches 7900|work=Moneycontrol.com}} </ref> |
||
# 16 Aug 2013 --- 234.45 Points(because of rupee depreciation) <ref>{{cite web|url=http://ibnlive.in.com/news/sensex-crashes-769-points-nifty-234-points-down/414676-7.html|title=Sensex crashes 769 points, Nifty 234 points down|work=IBNLive}}</ref> |
# 16 Aug 2013 --- 234.45 Points(because of rupee depreciation) <ref>{{cite web|url=http://ibnlive.in.com/news/sensex-crashes-769-points-nifty-234-points-down/414676-7.html|title=Sensex crashes 769 points, Nifty 234 points down|work=IBNLive}}</ref> |
||
Revision as of 06:55, 18 November 2015
| Foundation | 1995 |
|---|---|
| Operator | India Index Services and Products |
| Exchanges | National Stock Exchange of India |
| Constituents | 50 |
| Type | Large cap |
| Market cap | INR billion (2014) |
| Weighting method | Capitalization-weighted |
| Website | Official home page |
The Nifty 50 index is National Stock Exchange of India's benchmark stock market index for Indian equity market. Nifty is owned and managed by India Index Services and Products (IISL), which is a wholly owned subsidiary of the NSE Strategic Investment Corporation Limited. IISL had a marketing and licensing agreement with Standard & Poor's for co-branding equity indices until 2013.
Nifty 50 Index has shaped up as a largest single financial product in India, with an ecosystem comprising: exchange traded funds (onshore and offshore), exchange-traded futures and options (at NSE in India and at SGX and CME abroad), other index funds and OTC derivatives (mostly offshore).
The Nifty 50 covers 22 sectors of the Indian economy and offers investment managers exposure to the Indian market in one portfolio. During 2008-12, Nifty 50 Index share of NSE market capitalisation fell from 65% to 29%[1] due to the rise of sectoral indices like CNX Bank, CNX IT, CNX Mid Cap, etc. The CNX Nifty 50 Index gives 29.70% weightage to financial services, 0.73% weightage to industrial manufacturing and nil weightage to agricultural sector.[2]
The Nifty 50 index is a free float market capitalisation weighted index. The index was initially calculated on full market capitalisation methodology. From June 26, 2009, the computation was changed to free float methodology. The base period for the CNX Nifty index is November 3, 1995, which marked the completion of one year of operations of National Stock Exchange Equity Market Segment. The base value of the index has been set at 1000, and a base capital of Rs 2.06 trillion.[3]
History
Formerly known as the S&P CNX Nifty Index, it was renamed in 2013 with the expiration of agreement between IISL and Standard and Poor’s Financial Service on 31st Jan 2013.
Components
List of 50 companies that form part of Nifty 50 Index as on 3 March 2014:
Major falls
On the following dates, the NIFTY 50 index suffered major single-day falls (of 150 or more points)
- 24 Aug 2015 --- 490.95 Points (driven by meltdown in the Chinese stockmarket) [4]
- 16 Aug 2013 --- 234.45 Points(because of rupee depreciation) [5]
- 27 Aug 2013 --- 189.05 Points [6]
- 03 Sep Aug 2013 --- 209.30 Points
- 06 May 2015 - NSE Nifty slipped below the 8,200-level by falling 179.25 points or 2.15 per cent to 8145.55. Besides, overnight losses in the US markets on worries about surging oil prices, poor trade data and growing tensions over the Greek debt crisis weighed on sentiments. [7]
- In 1991, New Delhi kickstarted the economic reforms process owing mainly to the serious balance of payments crisis it was facing.
- 1997 Asian Financial Crisis - Investors deserted emerging Asian shares, including an overheated Hong Kong stock market. Crashes occur in Thailand, Indonesia, South Korea, Philippines, and elsewhere, reaching a climax in the October 27, 1997 mini-crash.
See also
References
- ^ CNX Nifty loses importance to sectoral indices
- ^ Sectoral weightage of CNX Nifty 50 Index
- ^ CNX Nifty Index Methodology
- ^ "Global mayhem: Sensex crashes 1624 pts; Nifty breaches 7900". Moneycontrol.com.
- ^ "Sensex crashes 769 points, Nifty 234 points down". IBNLive.
- ^ Our Bureau. "Re, Sensex sink on fears Food Bill will feed deficit". The Hindu Business Line.
- ^ http://www.financialexpress.com/article/markets/indian-markets/bse-sensex-down-82-pts-nse-nifty-slip-below-8300-mark/69790/