Welcome Guest. Sign in or Signup

5 Answers

what is the meaning of the sensex and how it calculated?

Asked by: 2825 views ,
Stock Market

what is the meaning of the sensex and how it calculated?, 6.5 out of 10 based on 13 ratings
VN:F [1.9.22_1171]
Rating: 6.5/10 (13 votes cast)

i know some things about the sensex but don’t know how it calculated
means they said sensex get crossed the 15000 marks
but how do you know that and how it is calculated ?

Those who found this page were searching for:

how to calculate sensx,investment of 5,meaning of sencex,sencex meaning,senxex means

5 Answers

  1. geeyen on Dec 09, 2010 reply

    visit moneycontrol.com and you will get the answer

    +2 Votes Thumb up 2 Votes Thumb down 0 Votes

  2. R@m on Dec 09, 2010 reply

    The Index was initially calculated based on the “Full Market Capitalization” methodology but was shifted to the free-float methodology with effect from September 1, 2003. The “Free-float Market Capitalization” methodology of index construction is regarded as an industry best practice globally.

    All major index providers like MSCI, FTSE, STOXX, S&P and Dow Jones use the Free-float methodology.

    0 Votes Thumb up 0 Votes Thumb down 0 Votes

  3. Tom Z on Dec 09, 2010 reply

    An abbreviation of the Bombay Exchange Sensitive Index (Sensex) – the benchmark index of the Bombay Stock Exchange (BSE). It is composed of 30 of the largest and most actively-traded stocks on the BSE. Initially compiled in 1986, the Sensex is the oldest stock index in India.

    The index is calculated based on a free-float capitalization method when weighting the effect of a company on the index. This is a variation of the market cap method, but instead of using a company’s outstanding shares it uses its float, or shares that are readily available for trading…

    +1 Votes Thumb up 1 Votes Thumb down 0 Votes

  4. GetMoneyRich on Dec 09, 2010 reply

    What are stock index like sensex & nifty?

    Sensex & Nifty are nothing but ‘Stock Index’ which can make a common man know whether the market ig going up or going down.Stock Indexes are just Numbers that helps to measure the movement of market against a benchmark index, taken as 100, on a base year. Sensex is a stock Index for Bombay stock exchange (BSE) and Nifty if of National Stock Exchange (NSE).

    Stock Index is calculated daily. The calculation is done by tracking the share price of constituent member companies. For Example, Sensex is an index comprising of 3o representing shares. These 30 shares represent all the balance shares normally traded in the market. Nifty has 50 representing shares.

    The base date for Sensex is 1st April 1979 and for Nifty is 1st April 1995. This means that the sensex & Nifty were assumed to be 100 on their base dates.

    CALCULATE MARKET CAPITALIZATION OF EACH REPRESENTING COMPANIES – If company has total 150 shares and out of these 150, 100 nos are owned by investors. Now suppose the closing price of share was Rs.20 on a trading day, then its market capitalization on that trading day will be 100 X 20 = Rs 2000.
    CALCULATE TOTAL MARKET CAPITALIZATION – by adding market capitalization of all representing companies / shares. Suppose this value is Rs 1,00,000.

    0 Votes Thumb up 0 Votes Thumb down 0 Votes

  5. Beverly on Dec 09, 2010 reply

    Sensex is the benchmark index of the Indian stock market. Sensex is very sensitive index

    0 Votes Thumb up 0 Votes Thumb down 0 Votes


Subscribe to Professional Answers on Investments by Email

Note: You will soon get email from Google Feedburner to confirm your subscription.

Professional Answers on Investments

If you are not satisfied with the above answers, tell us below and we will give you right answer.


If you know the better answer, post below and prove your knowledge.

Answer Question

Do you like this website? Get future updates via our Free newsletter.

Email ID:


InvestmentKit is also available in



Our Network:

InvestmentKit.com DodaCharts.com IndianPostOffice.Helpof.com AnswersKit.com SBILifeInsurance.Helpof.com RTILeaks.com
PaisaYehPaisa.com PublicProvidentFundIndia.com TechnologyPedia.com MoneySavingsHelp.com VedicAstrologyKit.com  
YellowPagesKit.com InvestmentKit.us InvestmentKit.com.au AadhaarCardUIDAI.in IndianRailwaysPNR.in BreakingNewsKit.com
 Privacy and Disclaimer  


Insurance is the subject matter of solicitation.

Mutual Fund investments are subject to market risks. Please read the offer document carefully before investing.