Sensex vs Nifty: What’s the Difference?

Somatirtha Purohit

BSE Sensex: BSE Sensex tracks 30 large companies listed on Bombay Stock Exchange, representing key sectors of India’s economy.

NSE Nifty: Nifty 50 includes 50 major companies listed on National Stock Exchange, offering broader market representation compared to Sensex index.

Number of Stocks: Sensex includes thirty companies, while Nifty covers fifty companies, making Nifty more diversified and slightly broader in reflecting market trends.

Exchange Difference: Sensex belongs to Bombay Stock Exchange, whereas Nifty operates under National Stock Exchange, reflecting performance across two major Indian trading platforms.

Calculation Method: Both indices use free-float market capitalisation method, but differ in stock selection, weight distribution, and sectoral exposure influencing overall index movements.

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